Government Ensures National Economic Stability Remains Maintained Amid Global Dynamics

The government continues to monitor developments in global dynamics, including rising geopolitical tensions and volatility in international financial markets. In facing these conditions, the government assures that Indonesia’s economic fundamentals remain strong and resilient. This is supported by solid policy coordination and maintained domestic economic resilience. Spokesperson for the Coordinating Ministry for Economic Affairs, Haryo Limanseto, stated that the government respects various views from the public as input for policy formulation. Nevertheless, he said, Indonesia’s current economic fundamentals are in a strong position and capable of withstanding global pressures. “We respect various views from the public. We would like to add that the government assures that Indonesia’s current economic fundamentals remain strong and resilient, supported by several key factors,” Haryo said in a written statement received by Kompas.com on Thursday (26/3/2026). Indonesia’s economic growth in 2025 was recorded at 5.11% year-on-year (yoy), relatively high compared to peer countries, while inflation remains within the target corridor of 2.5±1%. Haryo assured that the government continues to maintain this stability through inflation control and price stabilisation policies. On the domestic demand and real sector side, public consumption remains the main pillar of economic growth, supported by various fiscal stimuli and social assistance programmes. Manufacturing activity also shows strong performance with a Purchasing Managers Index (PMI) of 53.8, in the expansion phase and the highest in the last two years. Up to February 2026, tax receipts grew by 30.4% yoy. This increase is supported by tax reforms and the implementation of digitalisation through the Coretax system. These tax reforms and digitalisation implementation continue to strengthen the state revenue base and increase taxpayer compliance. In addition, national food and energy resilience is assessed to be increasingly strong. Indonesia has achieved self-sufficiency in several major food commodities and recorded an energy production surplus through the biodiesel programme. These conditions serve as important buffers in facing global turbulence, including the impact of geopolitical conflicts.