Prabowo Pained by IMF Data, Indonesia Lags Mexico and India<\/p>\n
Jakarta \u2013 President Prabowo Subianto said he was dismayed by IMF data\nshowing Indonesia\u2019s revenue-to-GDP ratio is the lowest among the G20,\nwith the country even below Malaysia, Cambodia and the Philippines.<\/p>\n
\u201cIndonesia as a G20 member, but our government expenditure ratio to\nGDP is the lowest among G20 countries. Likewise, our revenue ratio to\nGDP is the lowest among G20 countries,\u201d Prabowo said at the DPR RI\nplenary meeting on Wednesday, 20 May 2026.<\/p>\n
According to the latest data from the International Monetary Fund\n(IMF), Mexico\u2019s revenue-to-GDP ratio is 25%, India 20%, the Philippines\n21%, Cambodia 15%. Indonesia\u2019s revenue-to-GDP ratio is only 11-12%.<\/p>\n
According to Prabowo, the low revenue-to-GDP indicates that Indonesia\ncannot manage the nation\u2019s wealth and economy. Therefore, officials must\nintrospect, be aware and dare to ask why Indonesia\u2019s economic governance\ncannot be on a par with the Philippines and Mexico.<\/p>\n
\u2018Even now we are below Malaysia, what makes us unable? What is the\ndifference between us and Malaysia, Cambodia, the Philippines?\u2019 added\nPrabowo.<\/p>\n
In his plenary remarks, Prabowo also highlighted the phenomenon of a\nshrinking middle class and rising poverty in recent years. This occurs\namid Indonesia\u2019s economy growing at an average of about 5% for the last\nseven years.<\/p>\n
\u2018Ladies and gentlemen, seven years times five percent equals 35%; our\neconomy grew by 35%, but the number of poor people rose, from 46.1% to\n49.5%\u2014a 3 percentage point increase. The middle class declined,\nlisteners,\u2019 Prabowo said.<\/p>\n
Seeing these data, Prabowo said he was shocked and felt a hollow in\nhis chest. \u2018It may be painful for us; I received these data a few weeks\nafter becoming President, as if I had been struck in the chest,\u2019 he\nsaid.<\/p>\n
The poverty and middle-class data led Prabowo to question members of\nthe House and experts. He said he was intrigued by the figures.<\/p>\n
\u2018I ask before this esteemed assembly, I ask all political parties,\nall mass organisations, all experts and all professors: How can 35%\ngrowth occur but the middle class decline? Poverty has risen,\u2019 he\nsaid.<\/p>\n
From the study by the panel of experts, Prabowo is convinced that the\ncurrent economic system is not on the right track.<\/p>\n
\u2018Friends, the answers must be scientific; the answers must be\nmathematical, and in my view the answer is that, most likely\u2014not merely\nlikely, I am sure\u2014the economic system we are running is on a trajectory\nthat is not right,\u2019 he said.<\/p>\n
He compared with other countries. He argued that the difference lies\nin the economic system, and if this system is continued, Indonesia will\nbecome a country that finds it hard to prosper.<\/p>\n
\u2018Perhaps the difference between us and countries such as Mexico,\nIndia, the Philippines and others is systemic. We must look at the\nfacts, the facts that if we continue as we have for a number of years, I\nam sure we will not become a prosperous nation,\u2019 Prabowo said.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/prabowo-pained-by-imf-data-indonesia-lags-mexico-and-india-1779545609", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }