President Prabowo Subianto has made a strong commitment to lead Indonesia’s state budget (APBN) towards a zero-deficit position. During his address on the 2026 State Budget Bill at the Parliament Complex in Senayan, he outlined his determination to achieve this goal. The 2026 draft budget includes state spending set at Rp 3,786.5 trillion, with projected revenue of Rp 3,147.7 trillion, aiming for a fiscal deficit of Rp 638.8 trillion, equivalent to 2.48% of GDP. Prabowo expressed his administration’s dedication to implementing efficiency measures to minimize the deficit, with a vision to ultimately announce a budget with no deficit in the future.
He emphasized the importance of courage and determination in eliminating budget leakages, urging the support of all political forces in Indonesia. Prabowo also highlighted the government’s commitment to enhancing creative and innovative financing to reduce reliance on the APBN for development funding. The budget strategy will focus on flexibility to withstand global shocks, revenue optimization, improved spending quality, and financing innovation. In addition, efforts will be made to boost tax revenues, support investment climate and business sustainability, and provide targeted fiscal incentives for strategic economic activities.
Furthermore, Prabowo emphasized the need to manage natural resources efficiently to enhance the people’s prosperity. State assets should be utilized productively to generate added value and contribute positively to the welfare of the population. The government’s approach aims to strengthen Indonesia’s financial position and ensure sustainable economic growth.
