Gov’t Maintains Economic Resilience Amid Global Uncertainty

President Prabowo Subianto leads a limited meeting with Red and White Cabinet ministers, at the Merdeka Palace, Jakarta, Wednesday (10/29). (Photo by: BPMI of Presidential Secretariat)

The Government has maintained the resilience of the national economy amidst dynamic global conditions, as reflected by positive trends across several key indicators.

Coordinating Minister for Economic Affairs Airlangga Hartarto stated that the Indonesia’s economic outlook remains generally robust, as reflected in several indicators: the consumer index ranges between 100 to 115, sales increased by 5.8 percent, and the Purchasing Managers’ Index (PMI) stood at 50.4.

The Minister further highlighted that both the investment sector and household consumption also showed positive trends, with total national investment realization reaching Rp1,434.3 trillion and the Mandiri Spending Index increasing to 297 by year-end, indicating the improved performance in banking sector.

In the production sector, the Minister noted that the Government recorded an increase in industrial capacity utilization, indicating that economic activity continues to grow.

This development, he added, has become a crucial factor in sustaining the momentum of national economic growth through the end of the year.

During the limited cabinet meeting, Airlangga also revealed discussions on the continuation of several cross-sector priority programs to be implemented in 2026.

Supporting regulations have been prepared to ensure the sustainability of national priority programs, he added.

“The relevant regulations have been prepared, such as the final income tax (PPh Final) for MSMEs that will remain in effect until 2027; the PPh 21 (income tax) incentive for the tourism and labor-intensive industries; as well as Government-borne Value Added Tax (PPn DTP) for the housing sector and financial aid for work accident insurance (JKK) and life insurance (JKM),” he explained.

Airlangga said that President Prabowo Subianto paid close attention to several strategic programs on agricultural, marine, and fisheries sectors. The Government also underscored the importance of sustainability of downstream industrialization and the enhancement of value-added from natural resources.

“The President also reviewed and listened to programs across various sectors, including agriculture, for example those related to downstream development. In the Ministry of Marine Affairs and Fisheries (KKP), for example, there are programs such as the revitalization of 20,000 hectares of coastal ponds in northern Java, the development of integrated shrimp farms in East Nusa Tenggara (NTT), the modernization of fishing vessels, and initiatives related to the Free Nutritious Meal (MBG) program,” he said.

On that occasion, the Coordinating Minister also emphasized that the Government ensures that all policies will bring concrete benefits for the people and national economy.

He also noted that all ministries have reported to the President regarding the priority programs they have implemented this year, and affirmed that they will continue to monitor the progress of these programs on the ground until the end of the year. (BPMI of Presidential Secretariat) (RAS/EP)