Indonesia's State Revenue Boosted by Rp 6.62 Trillion from Forest Area Reclamation
Executive Summary
Key insights and market outlook
The Indonesian government has received Rp 6.62 trillion from the Forest Area Reclamation Task Force (Satgas PKH), helping to reduce the 2025 budget deficit. The funds, categorized as non-tax state revenue (PNBP), will be used to improve fiscal conditions amid a projected 2025 budget deficit of Rp 662 trillion (2.78% of GDP). As of November 2025, the deficit stood at Rp 560.3 trillion (2.35% of GDP) 2
Deep Dive Analysis
Indonesian Government Receives Rp 6.62 Trillion from Forest Reclamation Task Force
Significant Boost to State Revenue
The Indonesian government has received a substantial Rp 6.62 trillion from the Forest Area Reclamation Task Force (Satgas PKH), as announced by the Ministry of Finance. This amount includes Rp 2.34 trillion from administrative fines imposed on 20 palm oil companies and 1 nickel mining company 1
Fiscal Impact and Budget Deficit Reduction
Finance Minister Sri Mulyani's predecessor, Purbaya Yudhi Sadewa, stated that this additional revenue will help reduce the projected 2025 budget deficit of Rp 662 trillion (2.78% of GDP). As of November 2025, the budget deficit had already reached Rp 560.3 trillion (2.35% of GDP), making this injection particularly timely 2
Implementation and Future Prospects
The successful collection demonstrates the effectiveness of the Satgas PKH in enforcing compliance among companies operating in forest areas. President Prabowo Subianto witnessed the handover, underscoring the government's commitment to fiscal improvement through asset recovery and compliance enforcement.
Source References
Story Info
Topics Covered
Key Events
Rp 6.62 Trillion State Revenue Receipt
2025 Budget Deficit Update