State Secretary Prasetyo Hadi has confirmed that Indonesia’s economy and fiscal condition remain strong, meaning cuts to the defense and police budgets are not necessary at this time. Speaking at the Presidential Palace in Jakarta on Tuesday, Prasetyo said such cuts would only be considered if fiscal pressures emerged. ‘Our evaluation so far shows the economy is quite strong,’ he stated.
The government is still following President Prabowo Subianto’s directive to pursue efficiency in less productive spending, but no discussions on reallocating defense funds have taken place. Finance Minister Purbaya Yudhi Sadewa had previously hinted at possible cuts if the deficit faced pressure.
Data from ANTARA shows the 2026 APBN allocates Rp337.37 trillion for defense and Rp145.6 trillion for the police force. Prasetyo emphasized the focus remains on maintaining fiscal health while ensuring effective spending for priority programs.
Article and image source: antaranews.com
