Key insights and market outlook
The Indonesian Ministry of Finance is experiencing high demand for budget allocations from various government ministries and agencies (K/L), with Finance Minister Purbaya Yudhi Sadewa stating they are 'overwhelmed' by continuous requests 1
The Indonesian Ministry of Finance is facing unprecedented demand from various government ministries and agencies (K/L) for additional budget allocations. Finance Minister Purbaya Yudhi Sadewa revealed that his ministry is 'overwhelmed' by the continuous requests, stating, "Terus terang kita (Kementerian Keuangan) agak keteteran tuh karena mereka (K/L) minta duit terus, minta duit terus." 1
Despite the challenges in managing budget requests, the absorption rate for priority programs has shown strong performance. By the end of November 2025, the realization of spending on priority programs reached Rp 752.7 trillion, or 81.2% of the total budget allocation of Rp 927.2 trillion 3
Suahasil noted that programs with regular characteristics tend to have faster absorption rates, with some approaching over 90% realization 3
Despite the high demand for additional allocations, Minister Purbaya emphasized that there are currently no plans to adjust the 2026 State Budget (APBN) structure 1
High Budget Absorption Rate
Ministry Requests for Additional Funds
2026 State Budget Structure Maintained