APBN Remains Robust Against Global Crisis and Escalation in the Middle East, Says Finance Minister Purbaya

Jakarta – The Finance Minister (Menkeu) Purbaya Yudhi Sadewa has affirmed that the state budget (APBN) remains robust enough to face potential prolonged global crises, including the impact of escalation in the Middle East.

After meeting President Prabowo Subianto at the Presidential Palace Complex in Jakarta on Tuesday night, 3 March, Purbaya said the government has discussed resilience scenarios for the budget if the crisis lasts longer than expected. He noted that these projections are based on preliminary analyses and the current fiscal conditions which remain in good standing.

‘There has been discussion, among others, about if this crisis lasts longer, can the budget withstand it and what would the budget look like? If our analysis at present shows it is still quite good, then there is no problem,’ Purbaya said.

He explained that one of the factors supporting Indonesia’s sound fiscal position is revenue performance, which has shown a significant improvement at the start of the year.

Tax and customs revenue in January to February 2026 rose by around 30 percent. ‘That is a very significant figure. It means there is a meaningful improvement in the economy and in people’s behaviour, tax and customs,’ he explained.

Regarding national economic resilience amidst the escalation between the United States and Iran, Purbaya noted that the government has run simulations of various oil-price scenarios for a one-year budget period. He said that increases in oil prices to a certain level can still be absorbed by the APBN. However, if the spike is extreme, the government would recalculate to adjust fiscal policy. ‘So it can be absorbed if oil prices rise, but if extremely high we will recalculate,’ he added.