Prabowo Discusses Economy with Luhut at Merdeka Palace

President Prabowo Subianto received the Chairman of the National Economic Council (DEN), Luhut Binsar Pandjaitan, at Merdeka Palace in Jakarta on Tuesday, 21 April 2026. These two retired Indonesian National Army generals discussed the domestic economic situation as well as developments in global dynamics.

According to the Cabinet Secretariat, Luhut presented several policy scenarios to maintain public purchasing power and ensure the state revenue and expenditure budget (APBN) remains under control. “Including through strengthening government digitalisation (govtech),” as stated in the release.

The government is currently piloting the digitalisation of social assistance in Banyuwangi and plans to expand it to 42 regencies/cities. This step aims to enhance transparency and targeting accuracy in social aid distribution.

In addition, the government is exploring opportunities to attract capital flows, particularly from the Middle East, in line with developments in the conflict in that region. This policy will be implemented through accelerating the formation of the Indonesia Financial Center to strengthen domestic investment appeal.

Following the meeting between Prabowo and Luhut, the Cabinet Secretariat stated that national economic activities are still considered very well-maintained. “However, vigilance is still required. The government is preparing anticipatory steps to respond to the impacts of global conflicts while maintaining growth momentum,” as written in its statement.

Besides Luhut, Prabowo also received the President’s Special Advisor on National Defence Affairs, Dudung Abdurachman, at the Presidential Palace on Tuesday. Dudung discussed national and international defence issues with Prabowo. “He usually likes to ask for advice and input from us as advisors,” he said upon arriving at the palace complex.

Dudung was also asked about his views on the Major Defense Cooperation Partnership (MDCP), which was signed by Defence Minister Sjafrie Sjamsoeddin and US Defence Secretary Pete Hegseth on Tuesday, 14 April 2026.

“That’s been around for a while too, and it looks like our cooperation with America will continue. But regarding the principles, I think he (Prabowo) will know better. I will also ask him later,” said Dudung.