2025 Budget Cuts Won’t Affect Public Services, Airlangga Assures
Jakarta. Chief Economic Affairs Minister Airlangga Hartarto has assured that the 2025 state budget cuts will not disrupt public services, stating that all essential services will run as usual despite the spending reductions.
President Prabowo Subianto issued Presidential Instruction No. 1 of 2025 on Budget Efficiency for the 2025 State and Regional Budgets (APBN and APBD). Nearly all ministries will experience budget cuts.
The government has cut a total of Rp 306.69 trillion ($18.9 billion) from the 2025 budget, reallocating resources to priority programs. These include Rp 100 trillion for free nutritious meals for children and expectant mothers, along with initiatives for food and energy self-sufficiency and healthcare improvements.
Despite these cuts, Airlangga emphasized that public services and strategic programs will continue as planned, ensuring economic stability and public welfare.
"The budget efficiency ensures that impactful programs benefiting the people remain the government's focus," he said.
The policy is intended to help the government manage state finances more effectively without compromising priority initiatives that directly benefit the public.
Several budget allocations have been designated as untouchable. Deputy Minister of Public Works Diana Kusumastuti explained that the government has set priority areas that must remain fully funded. These include civil servant salaries, maintenance of state assets, and disaster relief reserves.
"Maintenance and disaster relief budgets must be protected. Disaster preparedness funds are non-negotiable, as are debt payments," Diana said.
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