Purbaya Warns Ministries: No Reckless Spending!

Jakarta, CNBC Indonesia - Finance Minister Purbaya Yudhi Sadewa has emphasised that he will closely monitor the spending performance of ministries and government agencies (K/L). He has urged ministries and government agencies (K/L) to spend in line with their needs and programmes. If K/L fail to heed this warning, Purbaya has stated that he will issue warnings and will not disburse funds for reckless spending. “We will keep monitoring from time to time. So I will check; if the spending is reckless, of course there will be some. Then we will warn the relevant ministry or agency, and if it continues, we can warn that this (spending) I will not pay,” Purbaya asserted at the Office of the Coordinating Ministry for Economic Affairs in Central Jakarta on Monday (6/4/2026). This step is part of the budget tightening amid the current external turbulence. Purbaya also emphasised that this has been implemented since 2025. With this policy, Purbaya sees K/L spending as more controlled. In 2025, he revealed that the government managed to keep the state budget deficit below the 3% threshold, at 2.91%. This was thanks to the fiscal discipline he enforced. He also stated that from the 2025 state budget audit conducted by the Supreme Audit Agency (BPK), the fiscal deficit could be lower than initially announced, at 2.8%. “If you look at the state budget deficit, it was announced at 2.91% in 2025, but now there are indications that the deficit is better than that, perhaps around 2.8%, currently being audited by BPK, but it looks that way,” he said.