Indonesian Political, Business & Finance News

PDI-P Says Salary Cuts Must Begin with President and Ministers

| | Source: KOMPAS Translated from Indonesian | Politics
PDI-P Says Salary Cuts Must Begin with President and Ministers
Image: KOMPAS

Jakarta, Kompas.com — The chair of the PDI-P Central Board, Andreas Hugo Pareira, has stated that proposals to cut government salaries as a consequence of Middle East conflict tensions should first be applied to the country’s leadership as a demonstration of commitment to fiscal responsibility.

“If cuts are to be made through savings, then it must start from the leadership first. Starting with the President, Vice President, the ministers, and state officials in this republic,” said Andreas when contacted on Monday, 16 March 2026.

According to him, the government needs to set an example from the highest level so that the spirit of efficiency is truly reflected in government administration.

Andreas also assessed that the government still needs to conduct an evaluation of state expenditure, which he believes has not yet been entirely efficient.

He noted that budget wastage continues to occur across various sectors.

“Whilst the government itself is still drafting inefficient budgets, wastage is occurring everywhere,” said Andreas.

According to Andreas, several non-urgent programmes or non-priority initiatives could be deferred initially as part of efforts to save state budget allocation.

“There are budgets that are not urgent and not critical that could be deferred,” he said.

It was previously reported that President Prabowo Subianto had highlighted Pakistan’s approach to restraining government expenditure amid global turbulence, including the consequence of conflict between Iran, Israel and the United States.

Prabowo cited Pakistan’s implementation of various austerity policies, ranging from ministerial salary cuts to restrictions on official vehicle usage.

He assessed that such policies could serve as an example worth examining for Indonesia, particularly when global oil prices experience increases.

This was conveyed by Prabowo during a Full Cabinet Session at the State Palace on Friday, 13 March 2026.

Prabowo also highlighted Pakistan’s austerity measures, including salary reductions for senior state officials.

“They have even reduced salaries for cabinet members and parliamentary members,” said Prabowo.

The savings generated from these measures were then redirected to assist the most vulnerable population groups.

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