Finance Minister Purbaya Yudhi Sadewa outlined Indonesia’s economic strategies for 2026 during the Economic Outlook 2026 program on Kompas TV (16/12). He stressed the importance of sustainable economic planning and collaboration between the public and private sectors.

Economic Growth Targets and Employment Challenges

The 2026 state budget targets 5.4% economic growth, but Minister Purbaya said this is not enough to absorb the increasing number of job seekers. He added that higher growth is needed, aiming for 8% in the coming years. One of the strategies includes encouraging active participation from both public and private sectors to boost the economy.

Impact on Society and Economic Stability

Minister Purbaya emphasized that stable economic growth would benefit the public directly, such as by keeping essential goods affordable and providing easier access to jobs. He said these are important indicators of public welfare because citizens can experience the results of government economic policies firsthand.

Strengthening Key Sectors and Investment Climate

The Minister noted challenges in reforming economic systems that are currently less efficient, but remained optimistic that Indonesia could surpass the 5.4% growth target in 2026. He said revitalizing previously stagnant sectors is essential to support economic growth.

He also highlighted the importance of strategic sectors such as manufacturing, agriculture, and energy. In addition, he noted that a stronger investment climate and capital market would play a key role. "My focus is on maintaining the economic foundation. Capital market will also benefit because the size of companies will grow," he said, emphasizing that a growing capital market will create opportunities for larger companies to contribute more to the economy.

Optimism for Indonesia’s Future

Minister Purbaya closed the program with optimism, expressing his belief that Indonesia could achieve developed country status in 10–15 years. He said that with proper fiscal policies and good economic management, Indonesia could overcome the middle-income trap and become more advanced and prosperous.

PHOTO: BLOOMBERG TECHNOZ/ANDREAN KRISTIANTO

This article was created with AI assistance.