Finance Minister Purbaya Explains Indonesia's Fuel Stock Condition, Guarantees Price Stability

Jakarta — Geopolitical conflict between Iran and the United States-Israel alliance in the Middle East, a major global crude oil producing region, will not prompt the Indonesian government to arbitrarily raise fuel prices.

This assurance was provided by Finance Minister Purbaya Yudhi Sadewa, following his visit to Tanah Abang Market in Jakarta on Monday, 9 March 2026.

“As of now, there is no policy to alter fuel subsidies in the sense of raising fuel prices. We will first assess the conditions ahead,” Purbaya stated.

Purbaya emphasised that a comprehensive evaluation of fuel prices will only be conducted after the current month concludes. Consequently, whilst global crude oil prices currently stand at US$113 per barrel, he argued this is not the primary indicator that the government must raise fuel prices, as prices could easily decline again in the near term.

“Our assumption covers a full year. If the price is now US$100 and then drops to US$50, the average could be the same as before. So we shouldn’t jump to conclusions too hastily,” Purbaya explained.

He also noted that regarding fuel reserves, Indonesia currently maintains more than adequate stock. Whilst Indonesia’s fuel reserve capacity stands at 20 days, he stated this figure continues to accumulate daily due to ongoing consumption patterns.

“At any time, we maintain reserves of around 15 days or more. With a 20-day reserve capacity, we have surplus, not a shortage. If needed, we can purchase more. This is normal stock level, not emergency level,” Purbaya said.

“Some people say, ‘We only have 20 days left.’ That’s not how it works. If we stocked for a full year, we would lose money due to costs. That’s the strategy we employ. It’s already optimal,” he added.