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Indonesia Prepares $3 Billion Stimulus to Boost Year-End Economic Growth

Akmalal Hamdhi
November 6, 2025 | 11:47 am
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Finance Minister Purbaya Yudhi Sadewa delivers a presentation at the Prabowo-Gibran 1-Year Commemoration Forum: Optimism on 8% Economic Growth in Jakarta, Thursday (October 16, 2025). (ANTARA FOTO/Dhemas Reviyanto)
Finance Minister Purbaya Yudhi Sadewa delivers a presentation at the Prabowo-Gibran 1-Year Commemoration Forum: Optimism on 8% Economic Growth in Jakarta, Thursday (October 16, 2025). (ANTARA FOTO/Dhemas Reviyanto)

Jakarta. The Indonesian government has prepared an economic stimulus package worth more than Rp 50 trillion ($3 billion) to spur activity in the final quarter of 2025, following third-quarter growth of 5.04 percent, Finance Minister Purbaya Yudhi Sadewa confirmed on Thursday.

The plan includes Rp 34.2 trillion in direct fiscal stimulus and an additional Rp 15.7 trillion to fund special programs aimed at accelerating high-value investment and growth.

With these measures, Purbaya expressed optimism that Indonesia could meet its 2025 growth target of 5.2 percent.

“The government will continue to accelerate economic engines through stronger fiscal policies, financial-sector synergy, and a healthy investment climate to achieve high, stable, and equitable growth,” Purbaya said in a statement.

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Indonesia’s economy grew 5.04 percent year-on-year in the third quarter, slightly slower than the 5.12 percent recorded in the previous quarter. Despite the modest deceleration, the government said growth momentum remains strong, driven by resilient domestic demand, steady exports, and effective fiscal management.

“The third-quarter realization shows that the state budget is being managed effectively to sustain household purchasing power and enhance business competitiveness, especially at the global level,” Purbaya said.

The minister added that the government has also injected liquidity into the economy by placing Rp 200 trillion in state funds with state-owned banks, alongside non-fiscal measures to ease investment barriers.

“This reflects the government’s commitment to maintaining growth momentum and supporting purchasing power through faster and more efficient spending,” he said.

Indonesia’s steady growth has continued to support job creation. As of August 2025, the country’s unemployment figure fell to 7.46 million, down about 4,000 from a year earlier, according to Statistics Indonesia (BPS). Over the past year, the economy created 1.9 million new jobs, primarily in the agriculture, manufacturing, and trade sectors.

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