Government Prepares Transport Fare Stimulus for Second Half of 2026

Entering the second half of 2026, the government is preparing a stimulus package aimed at driving economic movement during two strategic periods.

The Head of the Indonesian Government Communications Agency (Bakom), Muhammad Qodari, stated that the government is preparing a transport tariff stimulus package for two key moments—the school holidays and the 2026 Christmas and New Year period—to encourage economic growth.

He noted that the stimulus package is specifically targeted at two strategic windows: the long school holidays in June-July 2026, and the Christmas and New Year period at the end of the year.

For the June-July 2026 holiday period, a budget of IDR 190.5 billion has been allocated for discounts on land and sea transport, as well as discounts on port service tariffs. Meanwhile, a 100 per cent VAT incentive (PPN DTP) will be applied to domestic economy-class flight tickets, with a budget of IDR 472.7 billion.

For the Christmas and New Year period, a budget of IDR 61.4 billion has been prepared for land and sea transport, alongside IDR 722 billion in the form of VAT incentives for aircraft.

Qodari reported that based on data as of 14 June 2026, the number of international tourists arriving in Indonesia reached 4.68 million visits between January and April 2026, representing an 8.24 per cent increase compared to the 4.33 million visits recorded during the same period in 2025.

In addition to the increase in visitor numbers, there has been an improvement in the quality of visits, evidenced by a 5.36 per cent rise in average foreign tourist expenditure to 1,345.61 USD (approximately IDR 22.68 million) per visit. Foreign exchange earnings from the tourism sector also grew by 6.30 per cent, equivalent to IDR 68.28 trillion, compared to the same period last year.