Economist: Free nutritious meals programme must be accompanied by strengthened education quality for optimal outcomes

Jakarta – The Head of the Macroeconomics and Finance Centre at the Institute for Development of Economics and Finance (INDEF), M Rizal Taufikurahman, has stated that the implementation of the Free Nutritious Meals (MBG) programme must proceed in parallel with strengthening education quality to deliver optimal benefits.

Speaking to ANTARA in Jakarta on Monday, Rizal said that administratively, the education budget in the 2026 state budget remains protected at 20 per cent of state expenditure, meaning there is no nominal reduction.

However, he noted that the introduction of the MBG programme is prompting adjustments to education spending categories. Given that mandatory spending cannot be reallocated, the spending on quality improvement is at risk of being affected.

“Because recurring education components are relatively inflexible, what is likely to be affected is spending on improving human resource quality, including higher education, training, and innovation. In other words, whilst the education budget is administratively maintained, its effective contribution to developing human resources is reduced,” he explained.

Meanwhile, in the short term, MBG can boost household consumption and improve children’s nutrition. This effect could be double-edged for the local economy, particularly in the food and distribution sectors.

Thus, the risk of stagnation in worker productivity and limited room for national economic growth can be avoided.

Previously, the Government confirmed that the 2026 education budget has been agreed upon by the government together with Parliament and Parliament’s Budget Commission and has not been reduced due to the MBG programme.

Cabinet Secretary Teddy Indra Wijaya assured that all strategic education programmes such as the Indonesia Smart Card and the Smart Indonesia Programme will continue, complemented by strengthened access through People’s Schools and renovation of approximately 16,000 schools in 2025 with a budget of 17 trillion rupiah.