Purbaya Wants To Press Debt 2026, Rely On Growth Through Revenue

Minister of Finance Purbaya Yudhi Sadives when delivering a statement at the Presidential Palace complex, Jakarta, Friday (19/9/2025). ANTARA/Andi Firdaus/am.

JAKARTA - Finance Minister Purbaya Yudhi Sadive plans to reduce debt withdrawals next year and replace growth strategies from relying on debt to revenue-based.

"If I look ahead, we shouldn't be forced to add more debt. Because I will encourage faster economic growth, so that with the same APBN, I will get faster economic growth and higher tax revenue," said Purbaya as quoted by ANTARA, Tuesday, September 23.

The Minister of Finance stated that good money management, where government money does not interfere with the economy, will encourage additional economic growth which then automatically also has an impact on absorption of state revenues.

Based on its calculations, with economic growth increasing by 1 percent, he can get additional state revenues reaching Rp220 trillion. Similarly, if economic growth increases by 0.5 percent, then the additional potential for revenue is Rp110 trillion.

"So, that's what we're chasing later," added Purbaya.

Purbaya also admitted that he received input from members of the DPR RI to manage debt wisely and with a countercyclical principle. This means that if the economy runs in a fast pace, then debt withdrawals need to be suppressed. Debts are only withdrawn when the economy needs a stimulus to boost growth again.

This indicates that the limitation of debt withdrawals is not rigid but depends on economic conditions.

However, Purbaya is sure that he will not withdraw large debt in the 2026 fiscal year. In fact, he believes that the debt issued later could be lower than the target set in the 2026 State Budget.

"We'll see the first half of next year how the realization of economic growth will be," he said.

For the record, the DPR has ratified the 2026 State Budget Bill (RUU) into a law with a deficit design of IDR 698.15 trillion or equivalent to 2.68 percent of gross domestic product (GDP).

State revenue is targeted at IDR 3,153.58 trillion, consisting of tax revenues of IDR 2,693.71 trillion, non-tax state revenues (PNBP) of IDR 459.2 trillion, and grants of IDR 660 billion.

State expenditures were set at IDR 3,842.72 trillion, consisting of central government expenditures of IDR 3,149.73 trillion and transfers to the regions of IDR692.99 trillion.