Finance Minister Purbaya Agrees to ministerial salary cuts: already too high
President Prabowo Subianto is currently reviewing proposals to cut the salaries of ministers and parliament members due to economic impacts resulting from the conflict in the Middle East. Finance Minister (Menkeu) Purbaya Yudhi Sadewa has expressed no objection to having his salary reduced.
Purbaya communicated this during a press engagement at Beringharjo Market in Jogja. He even joked that ministerial salaries are currently excessively high.
“It’s fine if ministerial salaries are cut; they’re already too high anyway,” Purbaya quipped on Tuesday (17 March 2026).
Purbaya stated that the nation’s financial condition, amid the conflict between the United States and Israel against Iran, remains sound. He assured that there will be no increase in subsidised fuel prices in the near term.
“The function of the budget is to absorb external shocks. So far, the state budget has been absorbing it,” Purbaya explained.
“So far, there are no calculations to increase fuel prices because we have sufficient funds to maintain current fuel price levels,” he added.
According to Purbaya, this situation can be sustained for quite some time. He also assured that there are no government plans to implement budget cuts.
“At this rate, even if the President wanted to continue until year-end, it would be fine. There’s no problem. I have sufficient funds remaining that can be used; observers don’t know where the money is,” he said.
“There is no decision yet on budget cuts. We are conducting an exercise and monitoring developments in world oil prices,” Purbaya continued.
President Prabowo Reviews Salary Cuts for Officials
Previously, President Prabowo Subianto stated that several countries have implemented adaptive measures in response to the conflict situation in West Asia or the Middle East. Prabowo cited Pakistan as an example, which has taken various anticipatory steps including cutting the salaries of cabinet members and parliament members.
This was conveyed by Prabowo while chairing a Plenary Cabinet Session (SKP) at the State Palace in Jakarta on Friday (13 March 2026). Prabowo emphasised that the government cannot ensure security without taking proactive measures.
“They have even reduced salaries for cabinet members, for parliament members, and all these salary savings are collected to help the most vulnerable or weakest groups,” he said.
Prabowo said that Pakistan’s government measures serve as an example in managing a crisis situation. He requested that such steps be reviewed as part of austerity efforts.
“This is merely an example. My point is, we could examine this matter over the coming days. I believe we should also endeavour to implement austerity measures. I believe that in 2-3 years we will be very strong, but we must still economise on consumption. In this way, we hope to ensure that our deficit does not increase,” he said.