Will Prabowo Cut the Salaries of Ministers and Parliamentary Members? State Secretary Responds
Jakarta — A proposal to reduce the salaries of government officials has emerged as a means of protecting Indonesia’s state budget from deficit following the conflict in the Middle East. The matter was raised by President Prabowo Subianto during a Full Cabinet Session at the State Palace in Jakarta on Friday, 13 March 2026.
What is the latest development regarding this proposal?
“We are currently detailing the study,” said State Secretary Prasetyo Hadi when asked by journalists at the Defence Ministry office in Jakarta on Tuesday, 17 March 2026.
Prasetyo stated that concerning domestic fuel supply, there is no cause for concern. As conveyed by Energy and Mineral Resources Minister Bahlil Lahadalia, fuel supply is guaranteed to be secure, with remaining reserves being continuously replenished to prevent depletion.
“However, we must certainly use this as a lesson to improve our own efficiency. Previously, without such an incident, we did not review how we would be more efficient in this manner,” Prasetyo said.
Regarding the cost-saving directive issued by the head of state during the Full Cabinet Session, Prasetyo emphasised that Prabowo called upon the government apparatus to set an example in implementing efficiency measures.
“There are many things we can do to reduce fuel consumption. For instance, how we migrate towards public transportation, how we reduce or limit the use of official vehicles, particularly those with red number plates. These are the sorts of measures we are currently finalising,” Prasetyo said.
Previously, during the Full Cabinet Session at the State Palace on Friday, 13 March 2026, Prabowo requested that his cabinet examine cost-saving options. These included reducing fuel consumption, implementing work-from-home policies, and cutting official salaries — measures similar to those employed by Pakistan as a precaution should the Middle Eastern conflict persist.
“This is merely an example, mind you, an example. What I mean is, we have several days, I believe we can examine this matter. I believe we should also endeavour to implement cost savings,” Prabowo said.
He outlined policies being implemented by other nations, such as reducing working hours per week and introducing work-from-home arrangements. Beyond this, Pakistan has even implemented salary reductions for government officials, with the savings redirected to assist the poorest layers of society.
“They have then halted all air conditioning expenses, vehicle purchases, furniture purchases, from all government agencies for an indefinite period,” Prabowo said.
Facing the impact of the conflict, Pakistan has now suspended all official foreign visits. Pakistan has also undertaken budget efficiency measures for events, celebrations, and similar activities. Nevertheless, Prabowo has opened the option to examine the application of similar policies.
“I believe we must endeavour to implement cost savings. I am confident that within 2-3 years we will be very strong, but we must economise on consumption. Accordingly, we hope to ensure that our deficit does not increase. Indeed, my aspiration is that we should have no deficit at all,” Prabowo said.