Finance Minister Assures No Fuel Price Hike Despite Oil Breaching USD 100
The Finance Minister Purbaya Yudhi Sadewa has stated that the government currently has no plans to increase the price of subsidised fuel (BBM) amid rising global oil prices resulting from the conflict between the United States and Israel with Iran.
“At present, there is no policy to change the fuel subsidy in terms of raising the price of BBM,” said Purbaya to journalists in Jakarta on Monday, 9 March 2026, according to Antara.
This decision was made after the government confirmed that domestic oil supply remains sufficiently secure, consistent with earlier statements from Energy and Mineral Resources Minister Bahlil Lahadalia.
Furthermore, Purbaya explained that the average global oil price currently remains below the maximum budget capacity of the State Revenue and Expenditure Budget (APBN). This means the APBN is still adequate to withstand the impact of oil price volatility.
However, the government will continue to monitor developments over the coming month and will make decisions when necessary. “It is not the right time to make a decision now, because the funds are still sufficient,” said Purbaya.
Purbaya also urged the public to remain calm and trust the government’s policy in navigating global turbulence, noting that Indonesia has previously experienced oil price spikes.
“We will see what the conditions are like. After a month, we will forecast what the oil price will be like, so we can make the appropriate policy,” said Purbaya. “You can trust me, I am quite capable. We have experienced high oil prices several times before, and the country did not collapse. Why? Because the policy was appropriate.”
In a separate statement, Bahlil affirmed that fuel supply remains reliable to meet public demand during the fasting period and Eid al-Fitr. He guaranteed that the price of subsidised fuel, Pertalite, will not increase even as global crude oil prices breach USD 118 per barrel.
Brent crude oil reached USD 118 per barrel for the first time since 17 June 2022, according to reports. This figure is higher compared with the average oil price in January 2026, when Brent (ICE) was USD 64 per barrel and US WTI stood at USD 57.87 per barrel.