To Safeguard State Budget, Government Redirects Rp 130.2 Trillion from Travel-Meeting Allocations
The government is reallocating the budget deemed non-priority to support fiscal efficiency amid global economic turmoil due to the war in the Middle East between Iran, the United States, and Israel. This efficiency is crucial as pressure from global crude oil prices has exceeded the macroeconomic assumptions in the 2026 state budget, valued at US$70 per barrel. As of today, global crude oil prices remain above US$100 per barrel. “The government is also taking strategic steps in state financial management through prioritisation and refocusing of spending by ministries and agencies,” said Coordinating Minister for the Economy Airlangga Hartarto during an online press conference on Tuesday (31/3/2026). Airlangga stated that this relocation or redirection of budget spending is being carried out from less priority expenditures such as official travel, non-operational meeting spending, and ceremonial activities. “This is towards more productive spending that directly impacts the public, including rehabilitation and reconstruction of disasters in Sumatra,” he explained. Airlangga emphasised that the government is also continuing to encourage the acceleration of spending by ministries and agencies as well as sharpening spending through the optimisation of the budget, with a value in the range of Rp 121.2 trillion to Rp 130.2 trillion. “The potential for prioritisation and refocusing of the budget for ministries and agencies is in the range of Rp 121.2 trillion to Rp 130.2 trillion,” Airlangga revealed.