BBM price rise potential stemming from Iran conflict, says Purbaya

Jakarta, CNBC Indonesia - Finance Minister Purbaya Yudhi Sadewa opened the possibility of increasing fuel prices if world oil prices rise too high and burden the APBN. Purbaya explained that based on current calculations, price pressures that could widen the budget deficit are equivalent to US$92 per barrel, from the normal price calculated in the APBN around US$60 per barrel. ‘We have run exercises; if the average oil price for a year is US$92, the deficit would be 3.6% of GDP, and we will take steps to avoid that,’ Purbaya said during an interview at his office in Jakarta on Friday (6/2/2026). However, Purbaya said the government has experience facing oil price pressures above US$100 per barrel. In fact, when world oil prices were US$150 per barrel, Indonesia’s economy remained resilient. ‘We have passed through oil prices up to US$150 per barrel; prices fluctuated, but did not collapse, so we have experience,’ he said. Nevertheless, if oil price increases in the future place too much pressure on the APBN, Purbaya will open up the option of raising fuel prices as a last resort. ‘If the budget is not strong enough. There is no other way. We will share with the public in part. In other words, there will be a fuel price increase. If the value is high now and the budget is no longer sustainable,’ he said.