President Prabowo Subianto has proposed a low fiscal deficit for the 2027 state budget bill though more efficient spending and higher revenue, even while holding onto an ambitious economic growth target.
Finance Minister Purbaya Yudhi Sadewa (center) speaks at the 2027 Draft State Budget and Financial Notes press conference in Jakarta on Aug. 14, 2026. (Antara/Imamatul Silfia)
President Prabowo Subianto has proposed a low fiscal deficit for the 2027 state budget bill as his administration seeks more efficient spending and higher revenue, even while holding onto an ambitious economic growth target.In his much-awaited Financial Notes address before lawmakers and government officials on Friday, Prabowo revealed that his administration’s budget plan foresaw a deficit, or the amount by which state expenditure exceeds state income, of Rp 671.2 trillion (US$37.68 billion).
That would amount to 2.4 percent of the gross domestic product assumed for next year.
“The ideal deficit is as little as possible; the dream is actually a balanced budget,” said the President, adding that the figure was not cast in stone and the government would try to lower it during execution.
