Jakarta. Finance Minister Purbaya Yudhi Sadewa said on Wednesday that Indonesia’s planned $1 billion (Rp16.75 trillion) contribution to the Board of Peace (BoP) to support Gaza peace efforts would partly be financed through the state budget.

Speaking at the Presidential Palace in Jakarta, Purbaya said the funding was expected to come from the state budget (APBN), though the final mechanism had yet to be determined.

“I think most of it will also come from the state budget, from the APBN,” Purbaya told reporters.

He added that discussions on the overall budgeting scheme for the Board of Peace had not yet taken place, and that he was still awaiting instructions from President Prabowo Subianto. “We haven’t discussed the mechanism yet, but at some point the president will assign the task to me,” Purbaya said.

The clarification follows earlier remarks by Foreign Minister Sugiono, who said the US-led Board of Peace had invited countries to make a voluntary $1 billion contribution, with the funds intended for rebuilding war-ravaged Gaza.

At the time, Sugiono stopped short of confirming whether Indonesia would commit financially to the initiative. He later emphasized that the Board of Peace does not impose a formal membership fee, noting that new members automatically receive a three-year term at no cost. However, the body requires substantial funding to carry out large-scale reconstruction in the Palestinian enclave and is therefore seeking voluntary contributions from participating countries.

“The board aims to address the Gaza situation, including its redevelopment. But who will pay for the Gaza reconstruction? Where will the money come from? For this reason, countries are being invited to chip in and will receive permanent membership in return,” Sugiono told reporters after meeting with lawmakers.

The Board of Peace is a US-backed initiative launched under former President Donald Trump, aimed at fostering long-term stability in the Middle East, particularly in Gaza. Beyond promoting a ceasefire, the initiative envisions a comprehensive reconstruction plan covering infrastructure, healthcare, and economic recovery, financed collectively by key global players.

For Indonesia, participation in the initiative would align with its longstanding support for Palestinian independence and humanitarian causes. A $1 billion contribution would secure Indonesia's permanent membership in the board, granting it voting rights over reconstruction fund allocations and a sustained role in shaping future global peace policies, without additional membership fees.

The move would also underscore President Prabowo’s push for a more proactive humanitarian diplomacy on the international stage.