Bahlil to Announce ICP in 2027 State Budget by August

Energy and Mineral Resources Minister Bahlil Lahadalia has stated that the government will set the Indonesian Crude Price (ICP) assumption for the 2027 State Budget (APBN) by August. The government is currently reviewing an ICP price range of approximately US$70 to US$95 per barrel.

According to Bahlil, the government needs time to observe global oil price developments before determining the final figure to be used as a macro assumption in drafting the 2027 APBN. “The range is a minimum of US$70 and a maximum of US$95. We will continue to monitor the dynamics until August to decide where to set the figure,” Bahlil said during a working meeting with House Commission XII on Monday, 15 June 2026.

Meanwhile, Director General of Oil and Gas at the Energy Ministry, Laode Sulaeman, assessed that there is potential for the ICP to decline as geopolitical conflicts in the Middle East ease. He noted that global crude oil price trends will be one of the considerations in setting the ICP. Responding to the weakening trend in world oil prices, which have touched the US$80 per barrel level again, Laode said the government will announce the ICP amount periodically each month. “The ICP price formulation will be announced periodically every month,” he stated.

In trading on Monday, 15 June 2026, global crude oil prices fell to their lowest level since March. Citing Trading Economics, crude oil prices closed weaker at US$80.12 per barrel. Meanwhile, Brent crude oil fell US$3.58, or 4.10 percent, to US$83.75 per barrel. US West Texas Intermediate (WTI) crude oil slumped US$4.01, or 4.72 percent, to US$80.87 per barrel. The sharp decline in oil prices was triggered by statements from US President Donald Trump and Iran’s Deputy Foreign Minister regarding the achievement of a preliminary agreement to end the conflict and reopen shipping lanes in the Strait of Hormuz.