Purbaya Reveals Household Consumption And Investment To Be The 2026 Economic Motorcycle

Minister of Finance Purbaya Yudhi Sadive. (Photo: ANTARA)

JAKARTA - Minister of Finance Purbaya Yudhi Sadive said the Government is targeting economic growth in 2026 to reach 5.4 percent, with household consumption remaining the main engine which is estimated to grow 5.2 percent.

"In 2026, economic growth is targeted to reach 5.4 percent with household consumption which is still the main contributor, estimated to grow 5.2 percent," he said in a working meeting with Commission XI of the Indonesian House of Representatives, Wednesday, September 10.

He added that investment is also targeted to grow 5.2 percent, focusing on accelerating productive investment in high added and export-oriented sectors.

In line with that, Purbaya said that exports are also targeted to grow 6.7 percent, along with the increase in added value from downstreaming results and trade efficiency.

In terms of price stability, he said that inflation next year is expected to remain under control in the range of 1.5 percent to 3.5 percent, so that people's purchasing power is maintained while providing a reasonable profit margin for producers.

Purbaya said that the government also emphasized its commitment to maintaining food price stability through various policies, such as the Food Supply and Price Stabilization (SPHP) program, distribution of food aid, and strengthening Bulog's role.

"Bulog is encouraged to play a role in maintaining reliable food stocks so that they are effective in stabilizing prices as well as being able to protect farmers at reasonable prices so that farmers' welfare can increase," explained Purbaya.

He added that Indonesia is one of the countries with a more controlled inflation rate than many other countries, thanks to the close coordination of policies between the central government, Bank Indonesia, related ministries/agencies, and local governments.

Purbaya also said that Indonesia is part of a group of countries that show economic resilience to global pressure.

"Indonesia in terms of the domestic economy also shows that there is resilience to the pressure of global uncertainty in the resilient group of countries," he said.

However, he emphasized the importance of vigilance so that the continued impact of external dynamics does not cause greater pressure in the future.

"Economic resilience until the second quarter of this year is expected to continue with higher growth next year," he said.