Indonesia Boosts 2027 Budget Target by Rp9.1 Trillion
Indonesia Boosts 2027 Budget Target by Rp9.1 Trillion
Reporter
September 8, 2026 | 07:01 pm
TEMPO.CO, Jakarta - A joint meeting between the House of Representatives (DPR) Budget Committee (Banggar) and the government has agreed on a revised posture for the draft 2027 State Revenue and Expenditure Budget (RAPBN). Both state expenditure and revenue targets have been raised by Rp9.1 trillion from the initial agreement.
Finance Minister Purbaya Yudhi Sadewa noted that the spending increase does not yet account for additional budget requests submitted by various ministries and state agencies.
“It does not include those additional requests from all, because everyone asked for up to Rp1,000 trillion back then. If we had a lot of money like in heaven, I would grant it all,” he told reporters following the meeting with the House Budget Committee in Senayan, Jakarta.
Purbaya explained that the national budget faces constraints next year amid prevailing economic conditions, forcing the government to strictly select additional funding allocations that offer optimal support for the economy.
Following the committee meeting, state expenditure was set at Rp4,106.3 trillion, up Rp9.1 trillion from the earlier projection of Rp4,097.2 trillion. This total comprises central government spending of Rp3,371.3 trillion, which includes Rp1,513.8 trillion for ministry and agency operational budgets and Rp1,857.5 trillion for non-ministerial allocations. Meanwhile, regional transfer funds remain unchanged at Rp735 trillion.
Concurrently, state revenue is targeted to rise to Rp3,435.1 trillion from the previous target of Rp3,426.0 trillion, reflecting an increase of Rp9.1 trillion. The growth stems from tax revenue targets set at Rp2,912 trillion, driven by tax and excise receipts. Meanwhile, non-tax state revenue (PNBP) is projected at Rp522.5 trillion.
Despite these increases in spending and revenue, next year’s budget deficit remains pegged at Rp671.2 trillion, or 2.4 percent of Gross Domestic Product (GDP). Meanwhile, debt financing for 2027 is targeted at Rp876.3 trillion.
House Budget Committee Chair Said Abdullah stressed that this represents a temporary framework for the 2027 state budget. “Details regarding ministry/agency expenditure and other line items will be deliberated next Wednesday,” he said during the meeting on Monday, September 7, 2026.
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