Prabowo Firmly Rejects IMF Loan Offer: Indonesia Can Still Function Without Loans

President Prabowo Subianto has spoken regarding policies aimed at state budget austerity and limiting loans during his administration. He admitted to being shocked upon learning that his subordinates had been offered a loan from the International Monetary Fund (IMF).

Prabowo made these remarks during his closing speech at the 35th Muktamar held at the Bahrul Ulum Tambakberas Islamic Boarding School, Jombang Regency, East Java, on Monday (31/8/2026). Prabowo stated that his government is striving to limit external borrowing.

“And we are now trying not to borrow too much money from everywhere,” he said.

Prabowo encouraged increasing state revenue through investment achievements rather than through loans. He noted that if borrowing becomes necessary, it must be at a low interest rate.

“Inviting investment is welcome, brothers. If we do borrow money, we want to borrow money with the smallest possible interest rate,” he remarked.

He also mentioned that Indonesia was recently offered a loan by the IMF, which he firmly rejected.

“I believe that a few months ago, I was shocked that our Minister of Finance in Washington, DC, was offered a loan from the IMF, and we rejected it. Thank you, but Indonesia can still function without a loan from the IMF,” he concluded.