Finance Minister Purbaya Pushes Indonesia’s 2026 Growth Target Toward 6%
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- Finance Minister Purbaya says Indonesia will try to lift 2026 growth toward 6%, above the 5.4% assumed in the state budget.
- He points to a late-2025 improvement, with Q4-2025 growth at 5.39% (yoy), though still below the government’s above-5.5% target.
- The strategy centers on maintaining liquidity, accelerating early-year government spending, improving the investment climate and tightening policy coordination.
Finance Minister Purbaya Yudhi Sadewa is pushing for Indonesia’s economic growth to reach 6 percent in 2026, citing signs of an improving national outlook that became visible toward the end of 2025.
“I think the growth trend we saw earlier will continue in the first quarter this year, and it will accelerate in the following quarters. We’ll try—even though the state budget assumes 5.4 percent. We’ll try to push it toward 6 percent, if possible, for 2026,” Purbaya said at the Presidential Palace complex in Jakarta on Thursday.
Purbaya said economic growth in the fourth quarter of 2025 showed a clearer improvement compared with previous periods.
Growth in the quarter came in at around 5.39 percent year-on-year (yoy), though it remained below the government’s target of above 5.5 percent.
Still, he said, the fourth-quarter performance was relatively solid and signaled a turnaround back toward an improving trajectory.
“Basically, it’s fairly decent. We can see a clear economic turnaround,” he said.
To reach the 6 percent growth target in 2026, Purbaya said the government would ensure adequate market liquidity so banks could function properly and businesses would not face difficulties accessing financing.
He added that the government would also step up fiscal activity through timely disbursement of state spending, particularly early in the year.
Other efforts include improving the investment climate and strengthening coordination among fiscal policy, the private sector and monetary policy so that all economic instruments can work optimally.
“And it looks like it can work. If we look at the fourth quarter last year—even though it wasn’t optimal—you could clearly see we were able to reverse the direction of the economy. That’s an extraordinary achievement,” he said.
Statistics Indonesia (BPS) recorded that the economy grew 5.11 percent (yoy) throughout 2025. Meanwhile, growth in the fourth quarter of 2025 reached 5.39 percent (yoy), the highest quarterly expansion since the COVID-19 pandemic.
Indonesianpost.com | Antara
