Indonesian Political, Business & Finance News

Purbaya Admits Negative Perception is the Main Obstacle for the Market

| | Source: REPUBLIKA Translated from Indonesian | Economy
Purbaya Admits Negative Perception is the Main Obstacle for the Market
Image: REPUBLIKA

Finance Minister Purbaya Yudhi Sadewa believes that negative perceptions regarding the Indonesian economy are the main obstacle weighing on domestic financial markets. According to him, these perceptions do not fully reflect the current state of the national economic fundamentals.

“The main obstacle is the negative perception of our economy, which is not entirely accurate,” Purbaya stated at the DPR RI Building on Saturday (6/6/2026).

Purbaya noted that the State Budget (APBN) remains stable. Furthermore, economic growth continues to perform well, and public economic activity remains on the rise.

“Our state budget is good, and the economy is growing quite well. So far, wherever we go, economic activity is increasing,” he said.

He noted that some parties are influenced by the assumption that the Indonesian economy is facing poor conditions. Consequently, the government will strengthen coordination with Bank Indonesia (BI) to eliminate the negative sentiment developing in the market.

“That is what we will eliminate through closer cooperation with the central bank. We were already close previously, but we will make it even closer,” said Purbaya.

Purbaya also addressed views from several analysts suggesting that government programmes, such as the Free Nutritious Meal (MBG) and others, could potentially strain the fiscal condition. He stated that these programmes are flexible and can be adjusted if necessary.

He emphasised that the government can maintain the budget deficit within the 2-3 per cent range despite implementing various priority programmes.

“Even with those programmes, we can maintain the deficit at 2-3 per cent,” he said.

Purbaya added that the government has the room to make adjustments to several programmes according to necessity. “We can monitor, arrange, and control everything,” he concluded.

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