Jakarta. President Prabowo Subianto has instructed central and regional governments to reduce spending by Rp 306.69 trillion ($18.9 billion) for the current fiscal year.

The decision comes as the government reallocates resources to fund the president’s flagship program, which aims to provide free nutritious meals for children and expectant mothers. An additional Rp 100 trillion has been earmarked for this initiative.

Under the presidential instruction, central government agencies are required to cut Rp 256.1 trillion from their budgets, while Rp 50.5 trillion will be deducted from funds transferred to provincial governments.

State Secretary Prasetyo Hadi said that the austerity measures are necessary to prioritize programs with immediate and widespread benefits.

“The president recognized the urgency of distributing the benefits of the free nutritious meal program to more people equitably. The savings generated from the budget cuts will be allocated to this program,” Prasetyo said on Thursday.

The National Nutrition Agency, responsible for implementing the meal program, announced that the program’s original budget of Rp 71 trillion for 2025 will now be increased by another Rp 100 trillion.

Austerity Measures
The austerity measures will target non-essential expenditures, such as official trips, seminars, and state ceremonies, to optimize government spending.

Prasetyo said the decision was met with unanimous support from cabinet members.

“No one raised objections because they understand this is a shared responsibility,” Prasetyo said. “By saving trillions of rupiah, we can redirect funds to more productive programs.”

Finance Minister Sri Mulyani Indrawati and Home Affairs Minister Tito Karnavian will oversee the implementation of the budget-saving policy.

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