Purbaya Reveals Indonesia's Growth Engine for Second Half of 2026
Jakarta, CNBC Indonesia - Finance Minister Purbaya Yudhi Sadewa has revealed the government’s strategy to maintain economic growth momentum above 5.5% throughout 2026. As is known, Indonesia’s economic growth reached 5.61% in the first quarter of 2026.
Purbaya stated that the engine of economic growth in the second half of this year will focus on strengthening the real sector, particularly export-oriented industries and the electric vehicle industry.
As is known, the government has allocated subsidies for electric motorbikes this year amounting to 100,000 units. The provision of subsidies will begin in June 2026. For electric cars, incentives in the form of value-added tax (VAT) exemptions will be provided, but under a certain scheme. The quota provided for electric car incentives is 100,000 units.
“So there is still a push towards the real sector. From us, we will provide incentives for electric cars and motorbikes. Later, we will improve access to financing as mentioned,” Purbaya told reporters at the Dhanapala Building on Tuesday (12/5/2026).
In addition to electric vehicle incentives, the government is also preparing improvements in financing access for labour-intensive industries and export sectors such as textiles, furniture, and footwear.
According to him, the government will soon summon the players in those industries to discuss cheaper and more accessible financing schemes.
“From export-oriented companies like textiles, furniture, shoes. I will call a meeting again soon, so they have better and cheaper access to financing,” he said.
Not only that, Purbaya explained that financing support can later be channelled through the Indonesia Export Financing Agency (LPEI), which is a special mission vehicle (SMV) of the Ministry of Finance.
He explained that the institution still has significant liquidity capacity to encourage productive sector financing.
“I can go through the Indonesia Export Guarantee Agency. There is a lot of money there, apparently some has been idle so far. In quarters 3 and 4, it will be above 5.5%, right? I’m pushing for 6, right? That’s why it was a bit painful before, now we’re healed so we can move faster again,” he said.