Jakarta, Thekabarnews.com—The Indonesian government is making its fiscal resilience strategy stronger because energy prices around the world keep going up. It also promises to keep the state’s budget deficit below 3 percent.

After meeting with President Prabowo Subianto at the Presidential Palace in Jakarta on Thursday, March 19, the Coordinating Economic Affairs Minister Airlangga Hartarto said what the policy would be.

Airlangga said that the president stressed how important it is to keep fiscal discipline during these uncertain times around the world. Especially because energy costs are going up.

To reach this goal, the government has made all of its ministries and state institutions work better. It is implementing stricter performance evaluations and encouraging collaboration to enhance efficiency. This also helps reduce unnecessary expenditures.

“The government is working to keep the budget deficit under control, mostly by making spending more efficient,” Airlangga said.

The government is also getting ready for many things to happen in the future because the prices of fuel and other goods are going up.

One of the main strategies is to increase the amount of coal mined in the country. This will help stabilize the energy supply and lessen the effects of changes in global prices.

At the same time, Indonesia is also moving faster toward using renewable energy. The government is making it a top priority to switch from diesel-powered power plants to solar power plants. In this way, it does not have to rely on expensive fossil fuels as much.

“This change is necessary to make things more efficient and lower the burden of high oil prices,” Airlangga added.

The government is looking into ways to solve the problem from both the supply and demand sides. One idea that has been brought up is to make work arrangements more flexible. For example, the government could have a program that lets people work from home (WFH).

The policy would apply to more than just government workers; private businesses and local governments could use it as well.

Officials believe that working from home could cut down on daily commutes by as much as 20%. This would help right away as energy prices rise.

The government’s plan combines short-term fixes with long-term changes to the existing setup. It aims to address immediate energy concerns while also promoting sustainable practices for future energy needs. In the short term, increasing coal production may help keep the supply stable.

However, the push for renewable energy shows that we are moving toward a more sustainable future. This is essential for reducing reliance on fossil fuels and addressing climate change challenges.

As the global economy stays shaky, the government’s ability to keep Indonesia’s economy stable will depend on how well it can balance strict spending rules with adaptable policies. Such policies include investing in renewable energy while managing coal production to ensure energy security.

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