Video: Ministry of Finance Ensures Growth Engine is Working - State Budget Managed Prudently

Jakarta, CNBC Indonesia - CNBC Indonesia, in collaboration with Bank Indonesia, presents the Central Banking Forum 2026 with the theme “Indonesia’s Economic Resilience in Facing Global Exchange Rate Volatility”. The forum will thoroughly discuss Indonesia’s responses and those of monetary authorities to global challenges, while strengthening national economic resilience and maintaining market confidence and positive perspectives.

Noor Faisal Achmad, Director of Strategic Economic Stability at the Directorate General of Fiscal Balance of the Republic of Indonesia Ministry of Finance, at the Central Banking Forum 2026, conveyed the government’s response to global economic turbulence resulting from the Iran-US-Israel War.

Indonesia’s economic data indicates that the manufacturing sector remains expansive, the trade surplus continues, inflation is controlled, foreign exchange reserves are adequate, and credit growth remains strong. This reflects that the growth engine is still functioning well, even though the financial markets are experiencing selling pressure, albeit moderate in Indonesia, with the rupiah depreciation still contained and SBN yields still low, thus perceptions of risk and market trust in Indonesia remain good.

To maintain market confidence, APBN management is conducted prudently with adequate liquidity, while safeguarding credibility and communication on credit financing so that the market sees the government’s response as anticipatory and measured.

Inflation is also ensured to be controlled and maintained at 3.8%, indicating that domestic prices are under control and purchasing power is preserved, with healthy growth in domestic demand. However, the rise in global energy prices is a risk that is being monitored, though transmission to the domestic market can be responded to.

The APBN is assured to play the role of a “shock absorber” amid geopolitical turmoil, where the APBN can keep fuel prices stable, the APBN deficit is targeted at 2.9% of GDP, and the economy for Q1-2026 is targeted at 5.5% or higher.

For more details, watch the Central Banking Forum 2026, CNBC Indonesia (Tuesday, 14/04/2026).