Economy of the Week: LPG 12 kg Price Increase to New Railway Line Plans

Jakarta (ANTARA) - A number of economic news stories aired over the past week remain compelling, ranging from the increase in 12 kg LPG prices to plans for new railway lines, and the government denying rumours of only Rp12 trillion remaining in state funds.

Here is a summary of the news:

Pertamina Raises 12 kg LPG Price to Rp228,000 per Cylinder

PT Pertamina Patra Niaga has increased the price of non-subsidised Liquefied Petroleum Gas (LPG) in 12 kg cylinders from Rp192,000 per cylinder to Rp228,000 per cylinder, an 18.75% rise.

This is the first LPG price increase since 2023.

Quoted from the official Pertamina Patra Niaga website accessed in Jakarta on Sunday, the Rp228,000 price for 12 kg LPG applies in Jakarta, Banten, West Java, Central Java, DI Yogyakarta, East Java, Bali, and West Nusa Tenggara.

Government Ensures Hajj Pilgrims’ Food Supplies Are Safe Amid Geopolitical Turmoil

The government has assured that food supplies for Indonesian prospective Hajj pilgrims remain secure amid global geopolitical dynamics.

Coordinating Minister for Food Affairs Zulkifli Hasan (Zulhas) stated that food conditions for Indonesian Hajj pilgrims are guaranteed, so pilgrims need not worry about food availability while in the Holy Land.

“Regarding Hajj pilgrims’ meals, the Hajj Minister said earlier that they are safe, even with the geopolitics there, but no need to worry about the food,” Zulhas said after the coordination meeting on Hajj 2026 Food Fulfilment Preparations at the Coordinating Ministry for Food Affairs in Jakarta on Tuesday.

Government Targets Construction of 2,772 km Railway Line in Kalimantan

The government is targeting the construction of 2,772 kilometres of railway lines on Kalimantan Island as an effort to strengthen connectivity and support logistics distribution in the region.

Coordinating Minister for Infrastructure and Regional Development Agus Harimurti Yudhoyono (AHY) said the plan is still in the calculation and planning stage by the government.

“The railway line development plan in Kalimantan is still being calculated and planned carefully by us,” AHY said after the national railway network development coordination meeting at the new Tanah Abang Station, Jakarta, on Wednesday.

Coordinating Minister Airlangga Predicts 5.5% Economic Growth in Q1 2026

Coordinating Minister for the Economy Airlangga Hartarto predicts Indonesia’s economy will grow by 5.5% in the first quarter of 2026.

“Although still awaiting the BPS (Statistics Indonesia) release, we have predicted several times that growth in the first quarter is fundamentally quite good, and the figure is larger or equal to 5.5%,” Coordinating Minister Airlangga said during a press conference at the Office of the Ministry of Investment and Downstreaming/Head of the Investment Coordinating Board (BKPM) of the Republic of Indonesia, Jakarta, on Thursday.

Purbaya Denies Rumour of Only Rp120 Trillion Left in State Funds

Finance Minister Purbaya Yudhi Sadewa has denied rumours claiming that state funds are now only Rp120 trillion.

Purbaya emphasised that the State Revenue and Expenditure Budget (APBN) funds are still at an adequate level.