Government to Pay $3.2 Billion in Ramadan Bonuses Early as Part of Q1 Stimulus
Jakarta. The government will disburse Rp 55 trillion ($3.2 billion) in Ramadan bonuses to civil servants, military personnel, and police officers earlier than usual as part of efforts to lift economic growth, Finance Minister Purbaya Yudhi Sadewa said on Wednesday.
The bonuses will be paid in the first week of Ramadan, after the government confirmed that the holy month will begin on Feb. 19.
“Payments will be made in the first week of fasting, very soon,” Purbaya told reporters at the parliament building.
The total Ramadan bonus allocation marks an increase of about 10% from Rp 49 trillion last year.
Purbaya said the early payout forms part of the government’s first-quarter 2026 stimulus program, under which authorities are preparing to deploy Rp 809 trillion ($52.6 billion) in spending to support the economy.
The package includes Rp 62 trillion to accelerate the free nutritious meals program, Rp 55 trillion for Ramadan bonuses, Rp 6 trillion for post-disaster reconstruction in Sumatra, and Rp 13 trillion for other stimulus measures.
“This will support economic activity in the first quarter of 2026. With faster regional government spending and coordination with the central monetary authority, economic momentum should be sustained,” Purbaya said.
The government is targeting full-year economic growth of 5.4% in 2026, but Purbaya said he expects a stronger performance in the first quarter.
“I hope growth in Q1 2026 reaches around 5.5% to 6%. If we hit 6%, we’ll celebrate with a meal together,” he joked.
Under Indonesian law, a religious holiday bonus equivalent to one month’s salary must be paid to both public servants and formal-sector private employees to help households prepare for major religious celebrations. In practice, most companies distribute the bonus during Ramadan to Muslim and non-Muslim workers alike.
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