{"id":324618,"date":"2026-05-20T14:00:21","date_gmt":"2026-05-20T07:00:21","guid":{"rendered":"https:\/\/setkab.go.id\/?p=324618"},"modified":"2026-05-21T14:42:39","modified_gmt":"2026-05-21T07:42:39","slug":"president-prabowo-urges-improvement-of-economic-system-state-sovereignty-enforcement","status":"publish","type":"post","link":"https:\/\/setkab.go.id\/en\/president-prabowo-urges-improvement-of-economic-system-state-sovereignty-enforcement\/","title":{"rendered":"President Prabowo Urges Improvement of Economic System, State Sovereignty Enforcement"},"content":{"rendered":"
\"\"

President Prabowo Subianto delivers the Presentation of the Macroeconomic Framework and Fiscal Policy Principles for the 2027 State Budget Bill at the Plenary Session Room of Nusantara Building, the Parliamentary Complex, Jakarta, on Wednesday (05\/20). (Photo by: BPMI of Presidential Secretariat)<\/p><\/div>\n

Fundamental change to national economic governance is imperative, President Prabowo Subianto has said.<\/p>\n

The President made the statement during the Presentation of the Macroeconomic Framework and Fiscal Policy Principles for the 2027 State Budget Bill at the Plenary Session Room of Nusantara Building, the Parliamentary Complex, Jakarta, on Wednesday (05\/20).<\/p>\n

The Head of State highlighted the immense potential of Indonesia’s wealth, which he assessed had not yet fully brought prosperity to the people.<\/p>\n

According to President Prabowo, Indonesia has strong capital to transform into a developed and prosperous country with its strategic geographical position, vast natural resources, and demographic bonus.<\/p>\n

\u201cLadies and Gentlemen, we actually have very strong capital to achieve this goal and vision. Our geographical position is highly strategic. Tens of percent of global trade passes through our waters,\u201d he said.<\/p>\n

President Prabowo also underscored the importance of maintaining state sovereignty, especially in the maritime sector, since illegal fishing by foreign vessels remains rampant in Indonesian waters.<\/p>\n

\u201cEvery night, tens of thousands of foreign-flagged vessels illegally and unlawfully plunder our marine wealth. We must enforce sovereignty over our own waters,\u201d he stressed.<\/p>\n

On that occasion, President Prabowo also highlighted the vast contribution of Indonesia\u2019s strategic commodities to state revenues, adding that Indonesia is the world\u2019s largest exporter of palm oil, coal, and ferroalloy.<\/p>\n

\u201cRevenue from palm oil export reached US$23 billion, equal to Rp391 trillion in 2025. Indonesia is also the largest coal exporter in the world. Coal export revenue amounted to US$30 billion, equal to Rp510 trillion in 2025,\u201d he said.<\/p>\n

Despite its abundant natural resources, the President stated that Indonesia\u2019s fiscal capacity still lags behind other countries, pointing out a lower state revenue-to-GDP ratio than other G20 countries and neighboring countries in the region.<\/p>\n

\u201cWe need to take a hard look at ourselves, face reality, and have the courage to ask why we cannot manage our economy so our state revenue can be on par with countries like the Philippines, Mexico,\u201d he said.<\/p>\n

The President also highlighted a disconnect between the national economic situation and growth data, noting that despite high economic growth over the past seven years, Indonesia has experienced a shrinking middle class and rising poverty rate.<\/p>\n

\u201cLadies and Gentlemen, let me ask this distinguished assembly, all political parties, community organizations, experts, and professors. How did we achieve such growth with a contracting middle class and rising poverty?\u201d<\/p>\n

According to President Prabowo, the situation shows a systemic issue in the management of the national economy while pointing out that the outflow of national wealth has occurred for decades through practices of under-invoicing, transfer pricing, and smuggling, causing a massive loss to the state.<\/p>\n

\u201cWe must be brave to speak the truth, plain and simple. We must have the courage to state things as they are. We must improve our government institutions,\u201d he said.<\/p>\n

Additionally, the President underscored that Indonesia must have sovereignty in determining the prices of oil palm, nickel, gold, and other mining products.<\/p>\n

\u201cOur oil palm prices must not be determined by other countries. We must set our own prices,\u201d he said.<\/p>\n

For the record, this presentation serves to affirm the Government\u2019s direction in strengthening national sovereignty and the economic system for the greatest benefit of the people. (BPMI of Presidential Secretariat) (DH\/MMB)<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Fundamental change to national economic governance is imperative, President Prabowo Subianto has said. The President made the statement during the Presentation of the Macroeconomic Framework and Fiscal Policy Principles for the 2027 State Budget Bill at the Plenary Session Room of Nusantara Building, the Parliamentary Complex, Jakarta, on Wednesday (05\/20). The Head of State highlighted […]<\/p>\n","protected":false},"author":88,"featured_media":324585,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[77],"tags":[],"class_list":["post-324618","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"acf":[],"yoast_head":"\nPresident Prabowo Urges Improvement of Economic System, State Sovereignty Enforcement - Sekretariat Kabinet Republik Indonesia<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/setkab.go.id\/en\/president-prabowo-urges-improvement-of-economic-system-state-sovereignty-enforcement\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"President Prabowo Urges Improvement of Economic System, State Sovereignty Enforcement - Sekretariat Kabinet Republik Indonesia\" \/>\n<meta property=\"og:description\" content=\"Fundamental change to national economic governance is imperative, President Prabowo Subianto has said. 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