CELIOS has released its latest research on the economic and health costs of forest and land fires (Karhutla) in Indonesia throughout January–August 2026.

➖ The total economic and health costs of forest and land fires in Indonesia during January–August 2026 are estimated at Rp39.29–123.1 trillion. The upper-end estimate of Rp123.1 trillion is equivalent to 49.1% of Central Kalimantan’s projected regional GDP in 2026. This estimate does not yet account for a scenario in which forest and land fires continue to expand through the end of 2026.

➖ The total economic costs arising from the loss of physical assets and economic activity caused by forest and land fires are estimated at Rp29.54 trillion, while the fires could also result in Rp269.86 billion in lost potential local tax revenues.

➖ The total healthcare costs for people diagnosed with fire-related health conditions are estimated at Rp9.75 trillion, comprising both direct and indirect healthcare costs associated with the forest and land fires.

➖ When people who are diagnosed as well as those experiencing symptoms related to the impacts of forest and land fires are taken into account, total health-related costs could reach Rp93.56 trillion. This figure is equivalent to 67.6% of Indonesia’s total national health-sector budget in the 2026 state budget (APBN). The burden is also expected to be reflected in increased BPJS Kesehatan claims and reduced purchasing power among communities affected by the fires.

CELIOS urges the Government to take four immediate measures:

1. Declare the 2026 forest and land fires a national disaster to ensure a coordinated and adequately resourced national response.
2. Immediately establish safe evacuation shelters and provide medical evacuation for vulnerable groups, particularly those most exposed to the health impacts of smoke and air pollution.
3. Conduct a comprehensive review of all business permits for oil palm plantations and mining operations in areas affected by or contributing to forest and land fires.
4. Establish an integrated ecosystem recovery task force to coordinate fire management, environmental restoration, and long-term ecosystem recovery.