Prabowo Targets State Revenue at 12.4 Per Cent of GDP in the 2027 State Budget

JAKARTA, KOMPAS.com - President Prabowo Subianto targets state revenue in the 2027 State Budget (APBN) to reach as high as 12.4 per cent of the gross domestic product (GDP). The target was conveyed by Prabowo at the 19th Plenary Meeting of the Indonesian House of Representatives, for the Fifth Session of the 2025-2026 Legislative Year, regarding the delivery of the Macro Economic Framework and Key Fiscal Policy Principles (KEM-PPKF) for the RAPBN 2027 at the Nusantara Building, MPR/DPR/DPD RI, Jakarta, on Wednesday 20 May 2026. Prabowo said the government has set several main targets in the macroeconomic framework for 2027, ranging from state revenue, government expenditure, the APBN deficit, to growth targets and poverty reduction. To support various national priority programmes, the government has also prepared government expenditure in the range of 13.62 to 14.8 per cent of GDP. “To support our various priority programmes and vital programmes, government expenditure is planned to be in the range of 13.62 to 14.80 per cent of our GDP,” he said. On the fiscal side, the government targets the APBN deficit to remain at a controlled level between 1.8 and a maximum of 2.4 per cent of GDP. In the meeting, Prabowo also set macroeconomic stability targets, including keeping the 10-year tenor of Government Securities (Surat Berharga Negara, SBN) yields at between 6.5 and 7.3 per cent. Meanwhile, the rupiah is projected to range between Rp16,800 and Rp17,500 per US dollar. “Our fiscal and monetary strategy must be a strategy capable of keeping our exchange rate stable against world currencies. We will keep inflation within 1.5 to 3.5 per cent,” he said. Oil lifting is targeted to reach 602,000 to 615,000 barrels per day, while gas lifting targets 934,000 to 977,000 barrels of oil equivalent per day. Prabowo is optimistic that with an economy strategy and disciplined, prudent fiscal policy, Indonesia’s economic growth can reach 5.8 to 6.5 per cent in 2027 as a stepping stone toward a growth target of 8 per cent in 2029. “With the right economic strategy, prudent and sustainable fiscal policy, I am confident that Indonesia’s economy can grow in the range of 5.8 to 6.5 per cent in 2027 towards 8 per cent growth in 2029,” he said.