President Joko Widodo has condemned the "act of terror" in the capital Jakarta that has claimed at least four lives, and urged citizens not to be cowed.
"The state, the nation and the people, they, we, can't be afraid, can't be defeated by this act of terror," he told reporters.
"I hope the people stay calm because it's all under control."
The president said he had co-ordinated with police on the manhunt for the perpetrators.
"We all grieve for the victims of this incident," he said.
"We all condemn this act that has disturbed the public security."
The president was to cut short his visit to Cirebon, West Java on Thursday, and return to the capital.
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