Govt to maintain debt ratio, deficit at set limits

hartono · Apr 9, 2026

Coordinating Minister for Economic Affairs Airlangga Hartarto speaks to the press after attending a Government Working Meeting at the Presidential Palace, Jakarta, on Wednesday (April 8, 2026). /ANTARA/Genta Tenri Mawangi.

Jakarta (ANTARA) - President Prabowo Subianto has reaffirmed the government’s commitment to maintaining the debt-to-GDP ratio at around 40 percent and the state budget deficit at 3 percent, Coordinating Economic Affairs Minister Airlangga Hartarto said.

The commitment was reiterated during a government working meeting at the Presidential Palace complex in Jakarta on Wednesday.

“These levels will be maintained through the end of the year,” Hartarto told reporters after the meeting.

He said several indicators presented at the meeting showed that Indonesia’s economy remains resilient, including the consumer confidence index, the manufacturing Purchasing Managers’ Index (PMI), foreign exchange reserves, and the balance of payments.

He added that tax revenue continues to grow.

“The Finance Minister reported that as of March, tax revenue rose 14.3 percent to Rp462.7 trillion (around US$27.1 billion), while the manufacturing sector remains in expansion territory,” he said.

Hartarto said the government remains optimistic about achieving economic growth of around 5.5 percent in the first quarter of 2026.

“The government sees first-quarter growth as solid and in line with the target. The Finance Minister indicated it could reach or exceed 5.5 percent,” he said.

The meeting also highlighted positive developments in food security. Hartarto noted that rice stocks held by state logistics agency Bulog have reached 4.6 million tons.

“Our food security is relatively strong. Rice production in 2025 reached 34.7 million tons, and Bulog’s current stock stands at 4.6 million tons,” he said.

Despite these gains, he stressed that the government is continuing to prepare strategic policies to maintain growth momentum and economic stability.

One such policy is the planned implementation of the B50 biodiesel program starting July 1, which is expected to strengthen fiscal resilience.

“We agreed to implement B50 from July 1, which is projected to improve budget resilience with savings of around Rp48 trillion,” he added.