Jakarta. Indonesia’s newly appointed Director General of Customs and Excise, Djaka Budhi Utama, has officially retired from the military, Coordinating Minister for Economic Affairs Airlangga Hartarto confirmed on Friday. The statement aims to dispel concerns over the appointment of active military officers to civilian posts.

According to Law No. 3/2025, active-duty military personnel are only allowed to hold civilian positions in 14 designated ministries and/or agencies. The Directorate General of Customs and Excise, under the Ministry of Finance, is not among them, meaning appointees must resign from active service or take early retirement before assuming the role.

“There is no issue here because Mr. Djaka has completed his military service. He is now a retired officer,” Airlangga said after attending the inauguration ceremony for Djaka and other top echelon officials at the Finance Ministry in Jakarta.

Airlangga noted that Djaka faces a challenging mandate, particularly in enhancing service quality within the customs directorate and boosting state revenue in the sector.

According to Finance Ministry data, customs and excise revenues reached Rp 100.1 trillion ($6.1 billion) between January and April 2025, marking a 4.4 percent increase from the same period last year.

“Mr. Djaka's task will not be easy, as customs is a critical gateway for the entire business community. The flow of goods in and out of the country all passes through customs,” said Airlangga.

He also urged the need to provide special, friendly treatment to Indonesian migrant workers, whom he referred to as “our foreign exchange heroes.”

Djaka, who retired with the rank of Army Lieutenant General, previously served as the Principal Secretary of the State Intelligence Agency (BIN).