Finance Minister Purbaya assures subsidised fuel prices will not rise until end of 2026

Jakarta (ANTARA) - Finance Minister Purbaya Yudhi Sadewa has assured that the prices of subsidised Fuel Oil (BBM) will not experience any increase until the end of this year, even though global oil prices continue to rise due to the escalation of the US-Israel conflict against Iran. However, he stated that he cannot predict or guarantee the dynamics of non-subsidised BBM prices, as that commodity does not receive price relief from the government. “We are prepared not to raise (the prices) until the end of the year for subsidised BBM, assuming oil prices of $100 US per barrel until the end of the year, which has already been calculated on average,” said Purbaya Yudhi Sadewa during a Working Meeting with Commission XI of the House of Representatives (DPR RI) in Jakarta on Monday. He explained that his side has prepared mitigation steps and calculated the resilience of the State Revenue and Expenditure Budget (APBN) if global oil prices rise, whether to $80 US per barrel or $100 US per barrel. In addition to the APBN budget, Purbaya stated that the government still has other funding sources to anticipate pressure from global oil prices, one of which is the Remaining More Budget Funds (SAL) amounting to Rp420 trillion, including Rp200 trillion placed in banking. He said that the government also still has various revenue positions that can serve as a buffer or cushion for the subsidy budget needs, such as Non-Tax State Revenue (PNBP) from the energy and mineral resources sector (ESDM). “The important thing is that the funds are there, our cushion is still available, and later the Minister of ESDM (Bahlil Lahadalia) will promise revenues greater than the rise in oil prices and coal prices in the global market,” he added.