Appreciation of the Head of State's Speech, Optimism and Key Notes

Today, the Plenary Hall of the House of Representatives (DPR RI) witnessed a new chapter in the country’s direction. With full dignity and a fervent, inspiring optimism, President Prabowo Subianto delivered a crucial address on Macro Economic Policy and Core Fiscal Policy Principles (KEM PPKF).

This speech was not merely a presentation of figures and statistical targets, but a bold declaration that, according to the President, Indonesia’s economic growth could run at around 5.8 percent to 6.5 percent in 2027, moving towards 8 percent growth by 2029.

This represents a blueprint, a manifestation of effort, strategy, aspiration and hope to lift Indonesia out of the middle-income trap into a era of Indonesia’s Golden Glory.

The President’s step s in outlining the KEM PPKF were widely praised and received high acclaim.

The speech radiated a leadership aura that was strong, decisive, and steeped in constructive nationalism. There were several golden points indicating that the direction of fiscal policy is in capable hands.

First, the President explicitly asserted that the nation’s independence begins with the people’s welfare and its energy sovereignty.

The fiscal focus on food self-sufficiency (where the Farmer Welfare Index is targeted to rise to 0.8038 and the Farmers’ Terms of Trade, which the President says, have now reached the highest level in history at 126) is no longer mere rhetoric but a national defence strategy.

Second, continuing and expanding the downstreaming of commodities not only creates domestic added value, but also raises Indonesia’s bargaining power on the world stage. This is a tangible sign of a self-reliant economy.

We should applaud the President’s steps in pushing a regulation at the level of a Government Regulation on the governance of the export of natural resource commodities.