Purbaya: State Spending Reaches Rp 1,656 Trillion, Tax Revenue Rp 1,459 Trillion

Finance Minister Purbaya Yudhi Sadewa revealed that spending on the Free Nutritious Meal (MBG) programme had reached Rp 101.1 trillion by the end of the second quarter of 2026, benefiting 63.13 million recipients.

In addition, Purbaya reported budget realisation for the Rakyat Schools programme of Rp 13.1 trillion for 104 permanent schools. According to Purbaya, this budget realisation reflects the role of the State Budget (APBN) as an agent of development to accelerate the implementation of priority programmes.

Beyond acting as an agent of development, Purbaya said the APBN is also being optimised to serve as a shock absorber and to protect the poor. As a shock absorber, Purbaya said, the government is tasked with safeguarding people’s purchasing power as well as price stability and the supply of fuel and food through subsidies and compensation.

For this purpose, the government has disbursed Rp 116.0 trillion and Rp 116.9 trillion respectively. Purbaya added that the protection of poor and vulnerable communities continues through various programmes such as the Family Hope Programme (PKH), Sembako Cards and the Smart Indonesia Programme (PIP), with realisation of Rp 14.5 trillion, Rp 19.7 trillion and Rp 8.8 trillion respectively.

“To maintain growth momentum, the government has also provided various stimulus packages supporting business continuity and economic activity, including tax incentives for national writers, transport discounts during the Eid al-Fitr and school holiday periods, as well as internship and vocational programmes,” Purbaya said at a press conference on the results of the regular meeting of the Financial System Stability Committee (KSSK) in Jakarta on Monday (3/8/2026).

Overall, state spending reached Rp 1,656.0 trillion by the end of the second quarter of 2026, growing 17.8 per cent year on year. Central government spending reached Rp 1,298.6 trillion, or 29.4 per cent higher year on year.

Purbaya said spending realisation was influenced by, among other factors, implementation of the MBG programme, distribution of social assistance (bansos), infrastructure development, payment of holiday allowances (THR) and 13th-month salaries, and payment of pension benefits, as well as fuel and electricity subsidies and compensation.