Misbakhun Highlights Middle-Class Struggles: Rising Expenses, Ongoing Instalments, Yet Must Plan for the Future

Jakarta – Chairman of Commission XI of the Indonesian House of Representatives (DPR RI), Mukhamad Misbakhun, stated that discussions on the Macroeconomic Framework and Fiscal Policy Principles (KEM-PPKF) for the preparation of the 2027 State Budget (APBN) must provide room for the middle class to grow. According to him, fiscal policy must be directed towards maintaining the strength of the domestic economy, especially the middle-class group which has been the main driver of national consumption and economic activity. This is because economic challenges are not only felt by low-income communities but are also beginning to be felt by the middle class. “Many middle-class families today are facing a difficult situation. Expenses are increasing, instalments are still running, education costs are rising, while they also have to think about savings and their family’s future,” Misbakhun said in Jakarta on Friday, 12 June 2026. He stated that the 2026 economic growth target must not stop at just a figure. Growth must be able to create better jobs, strengthen the business world, and maintain people’s purchasing power. He explained that the middle class plays an important role in sustaining the national economic movement. When this group has the confidence to spend, buy a house, start a business, or invest, economic activity will grow stronger. Conversely, if they begin to hold back consumption and delay various economic decisions, the impact will quickly be felt by the business world and employment. “Protecting the middle class is not merely about helping one group of society. It is also about keeping Indonesia’s economic growth engine running,” he said. He conveyed that in the KEM-PPKF 2027 discussions, the government and the DPR agreed on a state revenue ratio target in the range of 12.01 to 12.40 percent of GDP. He assessed that this target must be achieved through expanding the revenue base and higher-quality fiscal reform, not by increasing pressure on groups in society that have already been compliant in paying taxes. “The middle class, which has been the main driver of the domestic economy, must not be further burdened. Fiscal reform must be carried out with the principles of justice and to encourage growth,” he said.