Indonesia’s Finance Minister Purbaya Yudhi Sadewa said the preliminary realization of the 2025 State Budget (APBN) shows solid performance amid economic volatility, as presented during the APBN KiTA press conference in Jakarta (08/01).

“Amid volatile conditions in 2025, the State Budget became an anticipatory and responsive policy instrument in facing global and domestic dynamics,” the Finance Minister said.

State Revenue Reaches Rp2,756.3 Trillion

State revenue reached Rp2,756.3 trillion, equivalent to 91.7 percent of the semester outlook of Rp2,865.5 trillion.

This was supported by tax revenue of Rp2,217.9 trillion, or 89 percent of the Rp2,387.3 trillion target.

Tax receipts stood at Rp1,917.6 trillion, reaching 87.6 percent of the target.

Customs and excise revenue amounted to Rp300.3 trillion, equal to 99.6 percent of the target.

Non-tax state revenue (PNBP) reached Rp534.1 trillion, or 104 percent of the Rp477.2 trillion target.

Grant revenue was recorded at Rp4.3 trillion, or 733.3 percent of the Rp1 trillion target.

Government Spending Reaches Rp3,451.4 Trillion

State expenditure reached Rp3,451.4 trillion, representing 95.3 percent of the semester outlook of Rp3,527.5 trillion.

Central government spending totaled Rp2,602.3 trillion.

This consisted of ministry and agency spending of Rp1,500.4 trillion and non-ministerial spending of Rp1,102 trillion.

Transfers to regional governments amounted to Rp849 trillion.

Deficit Maintained at 2.92 Percent of GDP

The government continued reforms to improve the quality of the State Budget across revenue, spending, and financing.

At year-end, the deficit was maintained at 2.92 percent of Gross Domestic Product (GDP), equivalent to Rp695.1 trillion.

“We know our economy is experiencing a downtrend. We must provide stimulus to the economy,” the Finance Minister said.

“This is a commitment to keep the economy growing sustainably without endangering the State Budget.”

He added that the government ensured the deficit remained below 3 percent to allow economic expansion amid high global pressure.

“This is the real countercyclical policy that I have often mentioned,” he said.

Economic Growth Outlook and APBN Role

The Finance Minister expressed confidence that stronger economic fundamentals will support better growth momentum going forward.

He said economic growth for 2025 is assumed at 5.4 percent, with efforts to push it higher.

The State Budget and other growth engines will continue to be optimized to accelerate economic growth.

The APBN will also remain a shock absorber to protect public purchasing power and maintain economic stability.

PHOTO: MINISTRY OF FINANCE

This article was created with AI assistance.