To Achieve 7.5% Growth Target by 2027, Government Requires Rp8,841 Trillion in Funding

Jakarta, CNBC Indonesia - The Ministry of National Development Planning (PPN)/Bappenas has designed the direction of Indonesia’s development in preparing the 2027 Government Work Plan (RKP). This includes calculations for the scale of funding, both through the state budget and the private sector.

This financing requirement is aimed at maintaining the trend of accelerating economic growth at 5.9% to 7.5% by 2027. This continues the increasingly rapid growth target of 6.3% year-on-year in 2026, as outlined in the 2025-2029 National Medium-Term Development Plan (RPJMN).

“For that growth target of 5.9-7.5%, and of course on the demand side, it will be driven by consumption and high investment growth,” said Deputy for Macro Development Planning at the Ministry of PPN/Bappenas, Eka Chandra Buana, at the 2026 Rakorbangpus event in the Context of Preparing the 2027 RKP, in Jakarta on Thursday (7/5/2026).

Specifically for investment, it is targeted to maintain the government’s development capacity, considering the draft state budget deficit of around 1.80%-2.40% of GDP in 2027.

The total investment requirement for next year to chase the economic growth target of up to 7.5% is valued at Rp8,677.4 trillion to Rp8,841.3 trillion. This investment need is targeted to be divided among government investment, state-owned enterprises (BUMNs), and the private sector or public.

“This cannot rely solely on the state budget or regional budgets; the private sector plays a very important role again. So if we look at the state budget pie of around Rp3,500 trillion, GDP of Rp25,000 trillion, can Rp3,500 trillion do it directly? So the state budget is only a catalyst for our economy to grow,” said Eka.

The total investment requirement for 2027 is targeted to be largely supported by the private sector or the wider public, valued at Rp7,612.2 trillion to Rp7,597.7 trillion, with a share of total investment equivalent to 87.7%-85.9%.

Next is from BUMN investment valued at Rp556.3 trillion to Rp619.1 trillion, or equivalent to 6.4%-7% of the total investment requirement.

Meanwhile, from government investment, both central and regional, it is targeted at Rp508.9 trillion to Rp624.5 trillion. The investment target value is equivalent to 5.9%-7.1% of the total 2027 investment requirement.