Deputy Finance Minister: Government Changes Spending Pattern to Be More Even Each Quarter

Jakarta (ANTARA) - Deputy Finance Minister Juda Agung revealed that the government is changing its expenditure pattern to be more even each quarter this year, in order to help drive more optimal economic growth.

“What used to be the highest growth in the fourth quarter is now being attempted to be evened out. In the first quarter, (it has been realised) 21 percent (of the APBN target). The second quarter target is 26 percent, the third quarter 26 percent, and the fourth quarter also 26 percent. The aim is for economic growth to be even and quick, occurring in the same year,” said Juda at the Bank Indonesia Head Office, Jakarta, on Monday.

In the first quarter of 2026, state spending realisation reached Rp815 trillion or equivalent to 21.2 percent of the APBN target of Rp3,842.7 trillion.

Spending in this period grew by 31.4 percent year-on-year (yoy), higher than the first quarter of 2025 which was 1.4 percent (yoy).

In detail, central government spending was recorded at Rp610.3 trillion (19.4 percent of the APBN target), with growth of 47.7 percent (yoy). Meanwhile, transfers to regions reached Rp204.8 trillion (29.5 percent of the APBN target), declining by 1.1 percent (yoy).

On the other hand, state revenues reached Rp574.9 trillion or increased by 10.5 percent (yoy), equivalent to 18.2 percent of the APBN target.

With this spending and revenue performance, the APBN deficit in the first quarter of 2026 reached Rp240.1 trillion or 0.93 percent of gross domestic product (GDP).

When asked about concerns over widening the deficit at year-end, Juda emphasised that fiscal management is still carried out carefully and measured.

Although the deficit realisation in the first quarter reached 0.93 percent of GDP, he explained that this figure cannot be directly multiplied to describe the condition until the end of the year.

“Of course, we cannot directly multiply by four (if assuming a 0.93 percent deficit each quarter) so above 3 percent (deficit at year-end),” said Juda.

He also assured that APBN performance will continue to be monitored and evaluated periodically, especially from the side of tax revenues and spending that can still be controlled.

With various measures undertaken by fiscal authorities, Juda remains optimistic that the APBN deficit will be maintained below the safe limit of 3 percent of GDP.