Vietnamese crab exporterdouble-skinned crabsexellent crabgood crab

Gov't Has Enough Fiscal Room to Make Education Free for All, Analyst Says

Bambang Ismoyo
May 30, 2025 | 10:49 am
SHARE
Students do their assignments at an elementary school in Jakarta on May 28, 2025. (Antara Photo/Sulthony Hasanuddin)
Students do their assignments at an elementary school in Jakarta on May 28, 2025. (Antara Photo/Sulthony Hasanuddin)

Jakarta. Indonesia still has enough fiscal space to make the first nine years of education free at both public and private schools, according to an analyst.

A recent landmark Constitutional Court ruling states that the government must fund both public and private elementary and middle schools. This ruling paves the way for free basic education for all in populous Indonesia. Eko Listiyanto, a senior economist at the think-tank Indef, said that there was still enough state budget for this ambitious policy despite other money-consuming programs like the colossal school-feeding initiative. 

"We still have fiscal room to implement the court ruling. Of course, the government might have to reallocate some spending to do that," Eko said.

"But I believe that the implementation [of making schools free] takes place in phases. So the government has space to redo the budget planning," Eko said.

ADVERTISEMENT

He noted how the Supreme Audit Agency (BPK) had often found inefficiencies in education spending over the past years, thus highlighting the need for a thorough budget reformulation.

Indonesia is planning to set aside Rp 727 trillion ($44.6 billion) in the 2026 education budget, marking an increase from the Rp 724.3 trillion allocated this year.

Amid the court ruling, the Prabowo Subianto administration is spending huge chunks of money on a massive school-feeding program aimed at improving children's nutritional intake.

The government reported to have spent Rp 3 trillion as of May 21. These meals had already made their way to around 3.9 million people across the archipelago. For this year alone, the government has set aside Rp 71 trillion of state money to cook the daily meals, meaning that they have not used up a large portion of the budget. However, there are plans to raise the budget to a total of Rp 171 trillion in hopes of feeding 82.9 million individuals, including expectant mothers, daily nutritious meals by the end of the year.

Tags: Keywords:
SHARE

Related Articles


News Feb 28, 2026 | 11:30 am

Govt Denies Neglecting Education Because of Free Meal Rollout

The government recently dismissed worries over education programs and teachers being neglected because of the free meal rollout.

The Latest


News 21 minutes ago

Indonesia's New Citizenship Fees: Rp 75 Million to Naturalize, Rp 5 MIllion to Renounce

Indonesia will charge up to Rp 75 million ($4,180) for foreigners applying for Indonesian citizenship under a new regulation.
Business 1 hours ago

#Sell Campaign Doesn’t Reflect Strong Indonesia Ties, Singapore Says

#SellSingapore and #SellIndonesia recently took social media by storm, as Jakarta grappled with tumbling stocks and weakening rupiah.
Opinion 2 hours ago

Prabowo's Foreign-Agent Rhetoric Weakens Indonesia's Fight Against FIMI

Prabowo's "foreign agent" rhetoric risks conflating dissent with foreign interference, weakening Indonesia's democratic resilience.
Business 2 hours ago

Economist Sees Another BI Rate Hike as Indonesia Seeks $11B in Capital

Trimegah Sekuritas expects BI to raise rates by another 25 bps, saying Indonesia still needs $11 billion in foreign capital this year.
News 2 hours ago

Women Trapped in the Vicious Cycle of Loan Sharks

Under the bank emok system, the repayment is joint liability, where one person's debt becomes the shared responsibility of an entire group.
COPYRIGHT © 2026 JAKARTA GLOBE. ALL RIGHTS RESERVED