Bakom: Government subsidies maintain purchasing power amid rupiah depreciation

JAKARTA (ANTARA) - Head of the Government Communications Agency (Bakom) RI Muhammad Qodari said government subsidies on energy and social assistance programmes have helped maintain household financial conditions amid the rupiah’s depreciation against the US dollar.

Qodari added that the government has distributed substantial subsidies, particularly in the energy, fuel, and electricity sectors.

“The government has provided substantial subsidies to the Indonesian people for energy, fuel, and electricity,” Qodari said in Jakarta on Sunday.

He noted that these support measures have assisted general household finances, especially low-income groups.

Qodari stated that subsidies and social assistance are key factors helping the public navigate current economic conditions.

“Thus, we believe this helps the financial situation of the public in general, especially low-income groups,” he said.

In the same event, Finance Minister Purbaya Yudhi Sadewa said the rupiah’s depreciation against the US dollar to Rp17,800 remains within government calculations and has not disrupted the national budget.

According to him, the government’s current focus is on sustaining domestic economic growth in the short, medium, and long term, as a strong economy will eventually support rupiah strengthening.

Purbaya stated that the rupiah’s weakness has not yet hampered domestic economic activities.

“Our economic outlook remains strong and the rupiah’s depreciation has not hindered domestic economic activities,” he said.