Government Reiterates Commitment to Cap 2026 Budget Deficit at 3%
Jakarta. Chief of Economic Affairs Minister Airlangga Hartarto reaffirmed the government’s commitment to keeping the state budget deficit under control, stressing it will not breach the statutory ceiling of 3%.
Airlangga said the policy sends a positive signal to markets and investors at a time when the global economic outlook remains uncertain. The government, he added, will not revise upward its previously set deficit projection and will continue to manage fiscal policy in a prudent and disciplined manner to safeguard macroeconomic stability.
Indonesia has set its 2026 state budget deficit target at 2.68%, with a maximum cap of 3%.
“The deficit ceiling will not be raised,” Airlangga said on the sidelines of an event hosted by the Indonesian Business Council in Jakarta.
He noted that the government’s confidence in maintaining fiscal discipline is underpinned by what it sees as strong and resilient economic fundamentals. Despite mounting global pressures, Indonesia’s economy has remained relatively stable.
The government believes the economy has proven its resilience after navigating multiple challenges in recent years. On the external front, Indonesia’s export performance has continued to trend positively, contributing meaningfully to overall economic growth.
Still, Airlangga acknowledged that global challenges are likely to become more complex in the future. As a result, the government is prioritizing the diversification of export markets and commodities to sustain growth momentum.
“So far, the economy is doing just fine. Indonesia’s economy is resilient,” he said.
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