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Indonesia Weighs Pay Cuts for Ministers, Purbaya Says 'It’s Fine'

Addin Anugrah Siwi
March 18, 2026 | 3:22 pm
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Finance Minister Purbaya Yudhi Sadewa during a visit to Beringharjo Market, Yogyakarta, Tuesday, Mar. 17, 2026. (B Universe Photo/Addin Anugrah Siwi)
Finance Minister Purbaya Yudhi Sadewa during a visit to Beringharjo Market, Yogyakarta, Tuesday, Mar. 17, 2026. (B Universe Photo/Addin Anugrah Siwi)

Jakarta. Finance Minister Purbaya Yudhi Sadewa signaled openness to austerity measures, saying he would not object if ministers’ salaries were cut as the government weighs fiscal tightening amid escalating global uncertainty.

Speaking on the sidelines of a visit to Beringharjo Market in Yogyakarta on Tuesday, Purbaya downplayed concerns over potential pay cuts for cabinet members.

“It’s fine if ministers’ salaries are reduced; they are already quite high,” he said.

The idea gained traction after President Prabowo Subianto pointed to examples from other countries implementing cost-saving measures, including trimming salaries of top officials, to cushion vulnerable groups from global economic pressures.

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“They even reduce salaries for cabinet members and lawmakers. All these savings are pooled to help the most vulnerable,” Prabowo said during a recent cabinet meeting.

Beyond salary cuts, the government is also reviewing broader efficiency measures, including reducing fuel consumption, implementing work-from-home arrangements, and delaying non-essential state spending.

Still, Purbaya stressed that Indonesia’s economy remains resilient despite global headwinds, particularly from tensions in the Middle East that have driven volatility in oil prices.

“The economy is still in good shape. Everything is moving fast, with expansion across sectors,” he said.

He added that no formal decision has been made on budget cuts across ministries and agencies, with the government continuing to assess the evolving global situation before taking further steps.

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