Indonesian Government to Review LPG Subsidy Amid Economic Pressures

Emergency Meeting Called by President Prabowo

In a significant move to address pressing economic issues, Indonesian President Prabowo Subianto has summoned key economic ministers to an emergency meeting at the Presidential Palace in Jakarta. The meeting, held on November 27, 2025, will focus on reviewing and potentially adjusting the LPG subsidy allocation in light of current economic conditions.

Key Ministers Attend the Meeting

The meeting will be attended by Minister of Energy and Mineral Resources Bahlil Lahadalia and Finance Minister Purbaya Yudhi Sadewa, among other top economic officials. Both ministers confirmed their presence at the meeting when approached for comments. Bahlil Lahadalia acknowledged that the LPG subsidy would be one of the main agenda items, while Purbaya Yudhi Sadewa indicated that the discussion would likely revolve around the LPG subsidy, although he awaited further details from the meeting.

Implications for National Budget and Energy Prices

The LPG subsidy has been a significant burden on the national budget in recent years. Any adjustments to the subsidy will have far-reaching implications for both the government's fiscal health and energy prices for consumers. The meeting represents a critical step in the government's efforts to manage these challenges while maintaining economic stability.