Deficit Under Pressure, Unair Professor Suggests Combination of SAL and Spending Efficiency

JAKARTA, KOMPAS.com - Professor Rahma Gafmi from Universitas Airlangga believes the government needs to combine the use of Saldo Anggaran Lebih (SAL) with spending efficiency to maintain the sustainability of the 2026 APBN amid pressures from global energy prices. She describes the choice between SAL and spending efficiency as a classic dilemma between short-term stability and long-term sustainability. “The choice between using Saldo Anggaran Lebih (SAL) or implementing spending efficiency (spending cut) is a classic debate between short-term stability versus long-term sustainability,” Rahma told Kompas.com on Monday (13/4/2026). SAL can also be utilised quickly without complex APBN revisions. This policy helps maintain purchasing power by curbing fuel price increases. Rahma warns of the limitations of SAL. These funds cannot be used continuously. “If the US-Iran conflict drags on for more than a year, SAL will be depleted. Meanwhile, from an opportunity cost perspective, the money used to ‘burn’ subsidies simply disappears, not becoming productive assets,” she explained. Spending efficiency is considered more sustainable. This policy improves the fiscal structure in the long term. This step also strengthens fiscal credibility. Budget discipline has the potential to maintain Indonesia’s debt rating. Risks remain. Overly deep spending cuts can pressure economic growth. “If government spending slows too drastically, economic growth could be dragged down below 5 percent,” she said.