No Increase in Pertalite Prices Until End of 2026, Purbaya: Our Funds Are Sufficient!

Jakarta, CNBC Indonesia - The government has affirmed that subsidised fuel prices will not increase until the end of the year. This was stated by Finance Minister Purbaya Yudhi Sadewa during a press conference on subsidised fuel and air transport pricing policies in Jakarta on Monday (6/4/2026). He explained that the fuel subsidy policy has been meticulously calculated, considering various scenarios, including assumptions of global oil prices reaching US$100 per barrel until year-end. Based on these calculations, the state budget deficit remains controlled at around 2.9 per cent. “Fuel subsidies will continue until the end of the year, and subsidised fuel prices will not rise. Our budget is sufficient,” the Finance Minister emphasised. Additionally, the government has a fiscal buffer in the form of excess budget savings amounting to Rp420 trillion, which can be utilised if greater pressures arise, such as uncontrolled oil price surges. However, the government assesses that the likelihood of sustained high oil prices in the long term is relatively low. The Finance Minister urged the public not to be swayed by speculation regarding the state’s financial condition. He stressed that the government’s fiscal capacity remains adequate to support the established policies. “The public need not worry; our funds are sufficient. Every policy implemented naturally has cost implications, and we have calculated them to be adequate,” he asserted. On another note, the Finance Minister explained that the deficit increase at the start of the year is a consequence of the government’s accelerated spending strategy. This measure was taken to ensure more even economic growth, avoiding concentration at year-end as in previous patterns. “I aim to create government spending growth that is nearly even throughout the year. Thus, the large deficit is a logical consequence of our policy,” he said. During the occasion, the Finance Minister also elaborated on the 2025 state budget performance, which shows improvement. The deficit is potentially lower than the initial target of 2.91 per cent, reaching around 2.8 per cent. “So, the budget condition is not as bad as we previously anticipated. Most importantly, with the deficit still controlled at that time, we can create an economic turnaround,” stated Purbaya. According to him, this condition is deemed to contribute to economic growth reaching 5.39 per cent in the fourth quarter of 2025 and potentially rising above 5.5 per cent.