National Forum Urges Fiscal Flexibility and Strengthened Government Communication
Member of the Indonesian Parliament, Bambang Soesatyo held a meeting with the Coordinating Minister for Politics and Security (Menko Polkam) General (Retired) Djamari Chaniago. The meeting took place during a gathering of the National Forum of MPR and DPR Leaders from the 1999-2024 period at Parle Senayan in Jakarta.
The meeting produced several recommendations for the government in responding to shifting global economic dynamics and increasingly complex geopolitical situations. The discussions addressed various issues including fiscal space, government communication governance, and Indonesia’s role in the Indo-Pacific region through strengthened regional cooperation.
“The National Forum believes the government should consider raising the budget deficit limit, which has been maintained below three per cent of Gross Domestic Product (GDP). In a global economic situation fraught with pressure, more flexible fiscal space is important so that the government can respond to various development needs and social protection more adaptively,” said Bambang Soesatyo in a statement on Monday (16 March 2026).
Soesatyo explained that the budget deficit ceiling of 3 per cent of GDP, which has served as a guide for fiscal discipline, has indeed succeeded in maintaining macroeconomic stability. However, post-pandemic global economic dynamics, geopolitical conflicts, and global economic slowdown demand a more elastic approach.
Data shows that global economic growth in 2025 stood at around 3 per cent, whilst inflationary pressures and high interest rates continue to shadow many countries. Indonesia recorded a budget deficit of approximately 2.3 per cent of GDP in 2025 with increasing financing needs for development, ranging from infrastructure development, energy transition, to strengthening food security.
“If the deficit space is expanded in a measured manner whilst maintaining the principle of fiscal prudence, the government can have greater flexibility to accelerate development. Many G20 nations even have looser deficit limits whilst maintaining fiscal credibility,” said Soesatyo.
Soesatyo explained that the National Forum also emphasised the importance of strengthening the government’s communication system. In recent years, information flow dynamics in the public sphere have developed very rapidly, particularly through social media.
On the other hand, the public frequently receives differing statements from various officials, creating confusion and uncertainty in public perception of government policy.
Data shows that more than 212 million Indonesians have access to the internet, with approximately 170 million active on social media. Within such a rapidly developing information ecosystem, government policy narratives must be conveyed consistently and credibly to avoid speculation that could trigger public unrest.
“The National Forum of MPR and DPR Leaders proposes that the government improve the effectiveness of the presidential spokesperson, who must possess strong public communication capacity, be able to explain policy in measured terms, and bring calm to society. Government communication must speak with one voice, be clear, and provide certainty,” Soesatyo emphasised.
He added that another issue of concern to the National Forum is the increasingly strategic geopolitical dynamics in the Indo-Pacific region. This region has become the centre of global economic growth as well as an arena for competition among major world powers.
The Indo-Pacific region currently accounts for more than 60 per cent of global trade and approximately two-thirds of global economic growth. Indonesia is deemed to need to continue playing an active role in maintaining regional stability through inclusive regional cooperation.
“Indonesia holds a strategic position as one of the engines of regional diplomacy. By strengthening ASEAN’s role and various other regional forums, Indo-Pacific stability can be maintained, thereby benefiting regional economic growth and security,” Soesatyo concluded.
Leaders of the MPR and DPR present at the meeting included Bambang Soesatyo, Sufmi Dasco, Anis Matta, Fahri Hamzah, Ahmad Basarah, Agung Laksono, Sidarto Danusubroto, Marzuki Alie, Lukman Hakim Saifuddin, Melani Leimena Suharli, Ahmad Farhan Hamia, Agus Hermanto, Priyo Budi Santoso, Setya Novanto, Hajriyanto Y. Thohari and Achmad Dimyati Natakusumah. Also present were Menko Polkam General (Retired) Djamari Chaniago, Deputy I for Domestic Political Coordination Major General (Retired) Heri Wiranto and Parliament Member Robert Kardinal.