Government Restricts Official Travel and Vehicles for Civil Servants, Saving Rp 6.2 Trillion in Budget

JAKARTA - The government is slashing the budget for official travel by civil servants (ASN) to achieve fiscal efficiency while encouraging a shift in work patterns. Coordinating Minister for the Economy Airlangga Hartarto stated that domestic official travel will be reduced by up to 50 per cent, while overseas travel will be curtailed by up to 70 per cent. “It is important to emphasise to the public that the national economy remains stable with strong fundamentals. Fiscal stability is still maintained,” Airlangga said during an online press conference on Tuesday (31/3/2026). Work-from-home (WFH) policies will apply to central and regional agencies. Technical arrangements will be outlined through circulars from relevant ministries. The main objective is to improve efficiency and productivity based on digital systems. Restrictions will also be imposed on the use of official vehicles by up to 50 per cent, except for operational needs. Civil servants are encouraged to switch to public transport to reduce energy consumption. Several sectors are exempted from the WFH policy. Public services such as health, security, and cleanliness will continue to operate normally. Strategic sectors including industry, energy, food, transportation, logistics, and finance will also be unaffected. Teaching and learning activities will continue to be conducted fully in person for five days a week for primary and secondary levels. This policy will take effect from 1 April 2026. The government will evaluate its implementation after two months. Savings in fuel consumption among the public are estimated to reach Rp 59 trillion. The government is also refocusing budgets from ministries and agencies. Expenditures such as official travel, meetings, and ceremonial activities are being cut. The budget is being redirected to programmes with direct impact, including disaster management. The total potential for refocusing is estimated at Rp 121.2 trillion to Rp 130.2 trillion. “The government invites all of society and the business world to remain productive and support this efficiency and cultural transformation in work practices,” Airlangga said.