Dubbed a 'Cowboy' Minister, Purbaya Believes Indonesia's Economy Is In Good Shape

Purbaya Yudhi Sadewa, Indonesia’s finance minister, has dismissed investors’ concerns about the direction of Indonesia’s economic policy, which many observers say has been unconventional since he took office. He believes the doubts will not last long.

Purbaya, known for his blunt style and growth-oriented stance, said the fiscal policy he is pursuing remains within healthy bounds, even though it differs from the conservative approach long pursued by the government.

‘The policy we are pursuing is good by any international standard,’ Purbaya told Reuters, as cited by Republika, on Saturday 7 March 2026.

This week Fitch Ratings cut Indonesia’s credit rating outlook from stable to negative, one of the factors fueling investor concerns. Several parties say policy uncertainty and fiscal discipline could affect market confidence in Indonesia’s economy.

That negative sentiment has also weighed on financial markets. In January, Indonesia’s stock market recorded a loss in market capitalisation of around USD 120 billion. Foreign investors were recorded selling Indonesian shares worth USD 415 million up to 5 March, and unwinding government bonds around USD 240 million.

Purbaya acknowledged that some of the concerns arise because he is still relatively new in office. ‘Because I am still new, they may think this is not a good minister and do not know what he is doing,’ he said. ‘I know what I am doing.’