December 1, 2025 | 03:57 pm
TEMPO.CO, Jakarta - The Prabowo Subianto administration has earmarked Rp2,567.9 trillion budget to fund priority programs next year. These programs include the free nutritious meal (MBG), food resilience, healthcare, and education.
This accounts for about 66 percent of the total planned state budget. "In 2026, the government will allocate Rp2,567.9 trillion for priority programs from the total state spending budget of Rp3,842 trillion," Coordinating Minister for Economic Affairs Airlangga Hartarto said during his address at the national leadership meeting of the Indonesian Chamber of Commerce and Industry (Kadin) in Central Jakarta on December 1, 2025.
Airlangga outlined that the programs include food resilience through the procurement of Bulog rice with a budget of Rp164.4 trillion. Additionally, energy resilience and energy subsidies amounting to Rp402.4 trillion are also earmarked.
The Indonesian government has also prepared a bigger budget for the MBG program, amounting to Rp335 trillion, way more than this year's Rp71 trillion budget. Next year, the free meal program is targeted to reach around 80 million recipients by May or June.
"The free nutritious meal program, currently benefiting 44 million people and school children per day, will be allocated Rp335 trillion next year," Airlangga stated.
The education programs, meanwhile, will receive Rp757.8 trillion, which will be funneled into top schools, public schools, and the improvement of educational facilities. Meanwhile, the healthcare budget is allocated at Rp244 trillion.
The development of cooperatives and micro, small, and medium enterprises (MSMEs) is allocated Rp181.8 trillion. The defense budget reaches Rp424 trillion, and acceleration global trade investment, Rp57.7 trillion.
In addition, according to Airlangga, the state budget will be allocated for several activities, including incentives for the housing sector, such as government-borne value-added tax (VAT) to lower housing backlog, and people's business credit (KUR) distribution, with a budget of Rp130 trillion.
During the same occasion, Airlangga requested Kadin's support to ensure these programs continue to run.
Overall, state spending in the 2026 State Budget is set at Rp3,842.7 trillion, and state revenue is estimated to reach Rp3,153.6 trillion; therefore, the deficit is targeted at Rp689.2 trillion or 2.68 percent of Gross Domestic Product (GDP).
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