Indonesian Political, Business & Finance News

Finance Minister: 2025 State Budget Runs Efficiently, Effectively, and Accountably

| Source: ANTARA_ID Translated from Indonesian | Economy
Finance Minister: 2025 State Budget Runs Efficiently, Effectively, and Accountably
Image: ANTARA_ID

Finance Minister Purbaya Yudhi Sadewa stated that the implementation of the 2025 State Budget (APBN) proceeded efficiently, effectively, and accountably. “For this reason, the government expresses its highest appreciation to all parties who contributed to the implementation of the 2025 State Budget. In particular, we extend our gratitude to the House of Representatives (DPR RI) for the close collaboration, effective oversight, and various constructive support and input during the 2025 fiscal year,” he said during a working meeting with the Budget Committee (Banggar) of the DPR RI in Jakarta on Tuesday. The Supreme Audit Agency (BPK) has given the highest assessment for the accountability of the 2025 fiscal year budget execution, namely an Unqualified Opinion (WTP) on the 2025 Central Government Financial Report (LKPP). With this, the government has successfully maintained the WTP opinion for ten consecutive times since the 2016 LKPP. This achievement reflects the government’s commitment to maintaining transparency and accountability in state financial management. Furthermore, Purbaya noted that 2025 was a period full of challenges for global developments. Ongoing geopolitical dynamics and the increasing fragmentation of world trade have altered the patterns of the international economy. These developments affected the smooth flow of global trade and logistics, as well as increased financial market volatility. As a result, global economic uncertainty heightened and put pressure on the economic growth prospects of various countries, including Indonesia. The State Budget continued to work hard to keep the Indonesian economy stable amidst global uncertainty by closely synergising responsive fiscal policy with prudent monetary policy. Purbaya conveyed that Indonesia managed to record economic growth of 5.11 percent in 2025, reflecting resilient economic fundamentals in the face of a global economic slowdown. This growth was supported by household consumption, which remained solid at 4.98 percent, and investment, which grew by 5.09 percent, indicating that domestic economic activity continued to move positively. The strong growth performance was also accompanied by maintained price stability. Inflation at the end of 2025 was recorded as under control at 2.92 percent year-on-year (yoy), serving as evidence of the government’s success in controlling prices, helping to preserve public purchasing power, and strengthening the effectiveness of fiscal policy in providing targeted social protection. “Amidst high global uncertainty, the State Budget continues to be present as an adaptive and reliable instrument in safeguarding national economic resilience. The government optimally utilises the State Budget as a shock absorber to protect the public from the impact of economic turmoil, maintain economic stability, and simultaneously accelerate the implementation of various development agendas,” he revealed. “This is in line with the direction of the 2025 fiscal policy, which was pursued expansively to support economic growth while keeping the State Budget credible, responsive, and effective in supporting the national development agenda,” the Finance Minister said. In addition, to strengthen the impact of fiscal policy on the public, the government provided economic stimulus packages in stages every quarter throughout 2025. “This stimulus was directed at maintaining purchasing power, encouraging domestic consumption, and strengthening the real sector through support for Micro, Small, and Medium Enterprises (MSMEs), labour-intensive sectors, housing, internship programmes, holiday ticket discounts, and youth empowerment, with total stimulus reaching Rp110.7 trillion,” Purbaya stated.

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