Government Prepares Rp26.34 Trillion Stimulus for Second Half of 2026
The government has officially prepared an economic stimulus fund of Rp26.34 trillion to strengthen public purchasing power and maintain industrial stability in the second half of 2026. The substantial budget is allocated across various strategic sectors, ranging from food aid and vocational programmes to air transport incentives.
Coordinating Minister for Economic Affairs, Airlangga Hartarto, detailed that the total stimulus comprises a food aid budget of Rp18.04 trillion, internship and vocational programmes worth Rp6.26 trillion, and transport stimulus and incentives amounting to Rp2.04 trillion.
“To encourage public mobility, the President’s directive is to announce transport discounts for the school holiday and Christmas and New Year periods at the same time. This can be followed by air transport incentives during the holiday season,” Airlangga stated at the Coordinating Ministry for Economic Affairs office in Jakarta on Monday (22/6).
Beyond transport, the government is paying special attention to the creative sector by setting a special Final Income Tax (PPh) rate on royalties of 1.5% for writers. This measure is expected to invigorate the national literacy ecosystem.
In the face of global uncertainty, President Prabowo Subianto has also instructed the provision of import incentives. The government has set a 0% import duty on LPG for the petrochemical industry and plastic raw materials. This policy is projected to deliver economic benefits worth Rp2.25 trillion through reduced production costs.
“The government expects that this 0% duty on plastic raw materials will help curb inflation, especially since almost all food packaging uses plastic,” Airlangga added. Additionally, import duty on aircraft spare parts has also been reduced to 0% to support the competitiveness of the domestic aviation and Maintenance, Repair, and Overhaul (MRO) industry.
In the food sector, the government will continue the food aid programme for three months (July, August, September), targeting 33.24 million beneficiaries. Furthermore, the Food Supply and Price Stabilisation Programme (SPHP) has also been prepared for tofu and tempeh producers.
The government has allocated a maximum soybean subsidy of Rp2,000 per kilogram with a target quota of 250,000 tonnes. “This subsidy will be provided when the price of soybeans exceeds the reference purchase price, to protect producers from global commodity price fluctuations,” he concluded.