Pancasila Birthday, PDIP Criticizes Weakening of the Rupiah and the State's Fiscal Condition

Secretary General of the PDIP DPP Hasto Kristiyanto in the commemoration of Pancasila's Birthday on Monday, June 1 at the At Taufiq Mosque, Lenteng Agung, South Jakarta (PDIP)

JAKARTA - The Indonesian Democratic Party of Struggle (PDIP) took advantage of the anniversary of the Birth of Pancasila on Monday, June 1 to launch a critical note on the national economic condition.

In a ceremony held at the At Taufiq Mosque, Lenteng Agung, South Jakarta, Secretary General of the PDIP DPP Hasto Kristiyanto highlighted the weakening of the rupiah, the country's fiscal condition, to the increasing economic pressure felt by the community.

According to Hasto, the current economic situation cannot be seen as a short-term problem. He assessed that a number of indicators showed that there were more fundamental problems in managing the national economy.

"The current account deficit in the first quarter of 2026 and the negative primary balance in our state budget are very worrying. Debt must be paid with debt, dig a hole to cover a hole," said Hasto when delivering a mandate at the ceremony, Monday, June 1.

The 81st birthday ceremony for Pancasila was attended by members of the DPRD PDIP Faction from various regions, DPC and PAC managers throughout DKI Jakarta, and the PDIP Task Force. A number of party leaders were also present, including Ganjar Pranowo, Basuki Tjahja Purnama (Ahok), Tri Rismaharini, Yasonna Laoly, Charles Honoris, to Ribka Tjiptaning. Meanwhile, PDIP General Chairperson Megawati Soekarnoputri participated in the activity online.

In front of party cadres, Hasto also touched on the weakening of the rupiah exchange rate which he said was not only influenced by external factors. He assessed that the condition reflected structural problems as well as declining confidence in the economy.

"Especially with the weakening of the rupiah lately which illustrates the existence of structural problems and there are problems related to trust," he said.

PDIP, said Hasto, from the beginning has encouraged the agenda of fiscal reconsolidation through the concept of Fiscal Resilience or fiscal resilience. However, he assessed that the direction of state budget policy was still overshadowed by short-term political interests.

According to Hasto, the proposed fiscal consolidation initiated by PDIP through the Fiscal Resilience theme turns out to still be colored by various forms of populist state spending with electoral hopes.

The criticism was made amid various economic problems that were considered to be increasingly felt by the public. Hasto said the increase in food prices, the difficulty of finding jobs, the increase in poverty rates, to the wave of layoffs as a signal that the government should not ignore.

"Various issues of rising food prices for the people, poverty, difficulty in finding jobs, and job termination, have now reached an alarming stage," said Hasto.

He emphasized that the fiscal consolidation driven by PDIP was not merely a technocratic agenda to improve figures in the state budget. According to him, fiscal policy must be in favor of the community that is affected by economic pressure.

"The fiscal consolidation that we propose is not just technical, but about the people's side, not the ambition of power," he said.

The ceremony was closed with a performance by the Red Bull PDIP Marching Band. On that occasion, Hasto also conveyed a message from PDIP Chairman Megawati Soekarnoputri to all party cadres. "Be true bulls who defend every oppressed people in all layers of Indonesia," he added.