Prabowo readies economic stimulus package through 2027
JAKARTA, thekabarnews.com—President Prabowo Subianto reviewed a new economic stimulus package on Wednesday, September 30. The package aims to protect household purchasing power in the final quarter...
JAKARTA, thekabarnews.com—President Prabowo Subianto reviewed a new economic stimulus package on Wednesday, September 30. The package aims to protect household purchasing power in the final quarter of 2026. It also supports employment and housing in 2027.
The Cabinet Secretariat said the government was preparing three immediate measures: rice assistance, a wage subsidy and a plan to open bank accounts for eligible adults.
Several longer-term programs remain under discussion and will require implementing regulations.
Under the food assistance plan, the government would distribute 10 kilograms of rice per month from October through December. This would go to 33,244,408 beneficiary households in the lowest four welfare deciles.
Officials estimated the program would require about Rp17.5 trillion (US$1.05 billion).
The plan extends an earlier allocation for the same number of recipients. The government uses the National Socioeconomic Single Data system (DTSEN) to determine eligibility.
The previous July–September allocation required approximately 997,332 tonnes of rice.
“The rice assistance provided through September amounted to 30 kilograms, and the President directed us to continue it in October, November and December,” Coordinating Economic Minister Airlangga Hartarto said in an EKON official.
The proposed wage subsidy would provide around 13.3 million workers with Rp300,000 per month for three months.
The government plans to transfer the Rp900,000 benefit in a single payment, with a projected budget of nearly Rp12 trillion. Authorities have not yet published the final eligibility criteria or disbursement schedule.
The government is also considering opening bank accounts for citizens aged 17 or older. Initially, the program would target people within welfare deciles one through four.
Officials are still verifying the number of recipients and the form of assistance associated with the accounts.
Airlangga previously said about 74 million Indonesians aged 17 or older did not have bank accounts. This highlights the scale of the country’s financial-inclusion gap.
For 2027, the government plans to continue the Manpower Ministry’s national internship program for 150,000 participants. It also plans vocational training for 300,000 people. Those figures match the ministry’s 2026 program capacity.
Officials also discussed extending the government-borne Article 21 income-tax incentive to workers across all sectors who earn less than Rp10 million per month. The proposed expansion would cover approximately 7.5 million workers.
In the housing sector, the government plans to continue its government-borne value-added tax facility in 2027.
The proposal covers homes priced at up to Rp5 billion. However, authorities would calculate the incentive only on the first Rp2 billion.
A separate subsidized mortgage plan would offer a 6 percent interest rate for homes costing up to Rp500 million. Additionally, officials are discussing an applicant-income benchmark of about Rp17 million per month.
Other proposals include extending contribution relief for occupational accident and death insurance for non-wage workers. These also include revising unemployment insurance benefits and adjusting VAT rules for jewelry containing 99.9 percent precious metal.
The package supports the government’s broader effort to pursue 6 percent economic growth in 2027 while maintaining targeted social protection.
However, the Cabinet Secretariat stressed that officials were still finalizing the programs.
Until the government issues the necessary regulations, the recipient numbers, budgets and eligibility thresholds remain policy targets. Therefore, these are not yet guaranteed benefits.
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