Key insights and market outlook
Finance Minister Purbaya Yudhi Sadewa has set ambitious economic growth targets for Indonesia, aiming for 6% growth in 2026 and potentially reaching near 8% by the third or fourth year of President Prabowo's administration 1
Finance Minister Purbaya Yudhi Sadewa has announced ambitious economic growth targets for Indonesia, with plans to achieve 6% GDP growth in 2026, exceeding the current APBN target of 5.4% 1
Purbaya outlined a clear roadmap for Indonesia's economic future, suggesting that the country could achieve growth near 8% by the third or fourth year of President Prabowo's administration. He emphasized the need for continuous acceleration in economic growth, stating that the government aims to push the economy to grow faster each year 1
In a separate address at IPB University, Purbaya stressed the critical role of human resource development in achieving these ambitious economic targets. He urged Gen Z students to study diligently, emphasizing that Indonesia needs more talented individuals to support sustained economic growth above 8% 2
Purbaya also provided historical context by comparing different administrations' economic strategies. He noted that former President Susilo Bambang Yudhoyono relied on the private sector as the economic driver, while President Joko Widodo focused on government spending. The current administration appears to be building on these foundations while pushing for more aggressive growth targets 1
Economic Growth Target Announcement
Fiscal Policy Direction