Rp31.7tn stimulus aims to protect purchasing power
JAKARTA, thekabarnews.com—The government has prepared four stimulus programs worth approximately Rp31.67 trillion (US$1.9 billion) to protect household purchasing power and sustain Indonesia’s...
JAKARTA, thekabarnews.com—The government has prepared four stimulus programs worth approximately Rp31.67 trillion (US$1.9 billion) to protect household purchasing power and sustain Indonesia’s economic momentum through the end of 2026.
The package covers a financial-inclusion program, rice assistance, wage subsidies and discounted transportation for the Christmas and New Year holiday (Natura) period. Coordinating Economic Minister Airlangga Hartarto presented the measures during a plenary Cabinet meeting in Jakarta on Oct. 21.
The individual allocations announced by the government add up to Rp31.67 trillion, slightly above the rounded Rp31 trillion figure used in public communications.
“The One Person, One Account program will run in the fourth quarter with a budget of Rp1.28 trillion,” Airlangga said, according to a statement published by the State Secretariat.
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The government designed the program to give more Indonesians access to formal banking services. However, officials have yet to publish complete technical details on eligibility, registration and the participating banks.
Rice assistance accounts for the largest share of the package. The government allocated Rp17.54 trillion to provide 10 kilograms of rice per month for three months to 33.24 million beneficiary families.
The measure seeks to reduce pressure on household spending. It also supports food security. The Finance Ministry confirmed that the government would distribute monthly rice assistance from October through December. Meanwhile, state logistics agency Bulog will continue its market-supply interventions.
The government also budgeted Rp11.97 trillion for the Wage Subsidy Assistance program (BSU). About 13.3 million eligible workers will receive Rp300,000 per month for three months. The government plans to disburse the full Rp900,000 payment at once in November or December.
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Airlangga said the program would help workers maintain their purchasing power. Detailed eligibility requirements and verification procedures will depend on the implementing regulations and official recipient database.
The fourth measure provides Rp883.4 billion in transportation incentives for the 2026 Christmas and 2027 New Year period. The government estimates that the program will benefit approximately 6.6 million travelers.
“Thirty percent discounts have been agreed for train tickets and ships. ASDP port-service fees will receive special rates, while the government will cover VAT on domestic air travel,” Airlangga said.
An earlier announcement from the Coordinating Economic Ministry specified a 30 percent railway discount from Dec. 22 to Jan. 4. Passenger ships operated by Pelni will offer a similar discount from Dec. 17 to Jan. 10, while eligible economy-class domestic flights will receive a government-funded VAT incentive.
The stimulus comes as the government reports economic growth of 5.45 percent. Household consumption remains an important driver of Indonesia’s gross domestic product, making the timing and accuracy of the assistance central to the package’s impact.
The programs could support consumption and mobility in the last quarter of the year. Effectiveness, however, depends on the timeliness of disbursement, the accuracy of data on beneficiaries and the clarity of public information on eligibility.
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