Indonesian Political, Business & Finance News

Purbaya Unveils 2027 Economic Strategy Centred on Boosting Growth

| Source: TEMPO_ID_BISNIS Translated from Indonesian | Economy

Finance Minister Purbaya Yudhi Sadewa stated that the economic and fiscal strategy for 2027 is directed at driving higher economic growth while simultaneously accelerating welfare improvements through synergy between fiscal policy, monetary policy, the financial sector, and the leveraging of investment by Danantara.

β€œThe government is positioning the state budget (APBN) as a catalyst for development, focusing on financing public needs, accelerating economic growth, and improving welfare,” Purbaya said during a working meeting with Commission XI of the House of Representatives on Wednesday, 10 June 2026.

Meanwhile, he noted that Danantara is directed at accelerating investment in strategic sectors to drive economic transformation. Monetary and financial sector policies are aimed at maintaining stability while supporting growth through sufficient liquidity availability with competitive funding costs, thereby enabling a stronger transformation in real sector activities.

He explained that through this pro-growth, pro-welfare strategy, the government is targeting higher economic growth alongside an acceleration in welfare improvements. Purbaya expressed hope that strengthening this synergy would propel economic growth in 2027 to a range of 5.8-6.5 per cent, with a trajectory towards 8 per cent by 2029.

Purbaya stated that achieving this must be underpinned by very strong investment acceleration, approximately in the range of 6.5 per cent to 7.5 per cent, particularly in high value-added sectors. According to him, the government will optimise debottlenecking and deregulation measures to thoroughly improve the domestic investment climate.

These efforts are directed at, among other things, simplifying the licensing process, strengthening legal certainty, and improving cross-sector and institutional coordination. Consequently, various structural barriers that have been hindering investment realisation can be eliminated.

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