Indonesian Political, Business & Finance News

Purbaya Affirms Strategic Policies Consider Fiscal Risks

| | Source: REPUBLIKA Translated from Indonesian | Economy
Purbaya Affirms Strategic Policies Consider Fiscal Risks
Image: REPUBLIKA

Minister of Finance Purbaya Yudhi Sadewa has assured that every strategic decision made by President Prabowo Subianto always goes through a joint discussion mechanism that considers various economic, social, and state fiscal capacity aspects. Purbaya stated that his party always submits analyses regarding fiscal risks and budget impacts as material for the President’s consideration in making decisions.

The State Revenue and Expenditure Budget (APBN) deficit is also maintained below the maximum limit of 3 per cent of gross domestic product (GDP), while the government debt ratio remains at a safe level compared to many other countries. “Last year the APBN deficit was around 2.81 per cent of GDP and this year it is estimated to remain below 3 per cent. The government debt ratio is also still around 40 per cent of GDP, so it remains in the prudent category,” the Minister of Finance said in a written statement on Friday (3/7/2026).

Regarding various government priority programmes, such as Free Nutritious Meals (MBG) and the Merah Putih Village Cooperatives, the Minister of Finance conveyed that the government continues to conduct evaluations so that their implementation becomes more efficient and on target. According to him, every new programme faces challenges in its early stages, so supervision and refinement will continue to be carried out.

The Minister of Finance stated that the government has taken budget efficiency measures, strengthened oversight mechanisms, and improved coordination with implementing agencies so that the use of state funds becomes more accountable. “The government does not turn a blind eye to the various shortcomings that exist. The most important thing is that every weakness is immediately corrected and its supervision is strengthened,” said Purbaya.

On the other hand, the Minister of Finance confirmed that reforms within the Ministry of Finance continue to be strengthened, including the eradication of irregularities in the taxation and customs sectors. He emphasised that there will be no tolerance for officials proven to have committed violations. Various corrective measures are being carried out through strengthened supervision, staff rotations, and action against individuals who abuse their authority. These steps are expected to enhance institutional integrity while strengthening state revenue.

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