Bappenas Targets Economic Growth of 7.5 Percent by 2027

The Minister of National Development Planning and Head of Bappenas, Rachmat Pambudy, explained that the government is targeting economic growth of 7.5 percent in 2027 on a year-on-year basis. This target is higher than the 6.3 percent for 2026. However, achieving 7.5 percent economic growth must be supported by all regions in Indonesia. The government is pursuing this target through the acceleration of eight clusters of the National Priority Work Programme, consisting of 53 flagship programmes, ranging from food and energy self-sufficiency, education, health, to industrial downstreaming and poverty alleviation. “In fact, non-APBN financing, including Danantara investments, must also be actively promoted so that our development capacity is not limited solely to fiscal resources,” he explained. “Our economy is currently experiencing acceleration, which many people are not aware of, leading to some fear and withdrawal from the capital markets,” Purbaya said, quoted from Kompas.com on Tuesday (5/5/2026). The first-quarter 2026 economic growth of 5.61 percent has convinced Purbaya that the prospects ahead are positive. Additionally, President Prabowo conveyed to Purbaya that the state’s finances are sufficient. Therefore, the public need not worry about the state of the national finances. “The President also told me earlier to convey the message that ‘my money is sufficient, there’s plenty of it, so you don’t need to be afraid’,” he said. As a result, Indonesia is not dependent on the US dollar. “To strengthen the exchange rate, we will also issue bonds in the form of Panda Bonds in China with lower interest rates, so we are not overly dependent on the dollar anymore,” he explained.