Purbaya Issues PMK 70/2025, Targets 8 Percent Economic Growth In 2029

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

JAKARTA - The Ministry of Finance has issued Minister of Finance Regulation (PMK) Number 70 of 2025 concerning Strategic Plans (Renstra) of the Ministry of Finance for 2025-2029.

The PMK was issued on October 10, 2025, and took effect on the promulgated date on November 3, 2025.

In addition, this regulation was issued to implement the provisions of Article 19 paragraph (2) of Law Number 25 of 2004 concerning the National Development Planning System, Article 17 paragraph (3) of Government Regulation Number 40 of 2006 concerning Procedures for the Preparation of the National Development Plan. Also, Article 3 paragraph (1) of Presidential Regulation Number 80 of 2025 concerning the Preparation of Strategic Plans and Work Plans of Ministries/Institutions, it is necessary to establish PMK on Strategic Plans of the Ministry of Finance for 2025-2029.

The Strategic Plan of the Ministry of Finance for 2025-2029 is a medium-term strategic planning document of the Ministry of Finance for a period of 5 years from 2025 to 2029, which is used as a reference in the preparation of the Strategic Plan of the Echelon Unit I and the Non-Echelon Organizational Unit which is directly responsible to the Minister of Finance within the Ministry of Finance, citing the regulation, Thursday 6 November.

The Renstra of the Ministry of Finance is also in line with the vision of Indonesia Gold as the vision listed in the National Long-Term Development Plan (RPJPN) 2025-2045.

The Ministry of Finance's Strategic Plan for 2025-2029 is a medium-term planning document within the Ministry of Finance which is compiled guided by the RPJMN for 2025-2029.

This regulation functions as a guide in making medium-term policies within the Ministry of Finance, this document also shows the role of the Ministry of Finance in supporting efforts to achieve the vision and mission of the President and Vice President during the government period 2025-2029.

In addition, the preparation of the Ministry of Finance's Strategic Plan also takes into account various conditions that can affect the Indonesian economy, so that the policy and strategy options formulated in the Ministry of Finance's Strategic Plan are expected to be able to answer development challenges, especially in the economic sector.

Meanwhile, the preparation of the Ministry of Finance's Strategic Plan for 2025-2029 pays attention to several things, including the latest global and domestic economic developments and the achievements of Renstra in the previous period.

Some of the things that are of concern related to the latest economic developments include, the risks and uncertainties of the global economy are still high, the recovery of the global economy has not been strong with a high inflation rate, the recovery of global manufacturing activities is still limited. And most developing countries (EMs) are still under high pressure, and equitable development in the country.

In these five years, the average economic growth is targeted to be in the range of 5.3 percent-8.0 percent. With transformative and super-transformative scenarios, national development targets, the open unemployment rate is targeted at the range of 4.0 percent-5.0 percent, the poverty rate is targeted at the range of 4.5 percent-5.0 percent.

Then, the Gini Ratio is targeted at the range of 0.372-0.375, the Human Capital Index at 0.59, and a decrease in the intensity of GRK emissions at 62.37 percent.

In the 2025-2029 RPJMN, there are 5 National Development Targets, namely Increasing per capita income towards the equivalent of developed countries; Leadership and influence in the international community increases; Poverty decreases and inequality decreases.

Furthermore, the competitiveness of human resources increases; and the intensity of GHG emissions decreases towards net zero emissions.

National Development Target 2025-2029

In the PMK, it is stated that the success of achieving the development target is measured through several indicators as follows:

1. Increase per capita income towards the equivalent of developed countries, with an indicator:

- Economic growth from 5.05 percent in 2024, increased to 5.3 percent in 2025 and to 8 percent in 2029.

- GNI per capita increased from 4,870 US dollars in 2023 to 5,410 US dollars in 2025 and 8,000 US dollars in 2029.

- Maritime GDP contribution increased from 7.9 percent in 2022 to 8.1 percent in 2025 and 9.1 percent in 2029.

- The contribution of GDP Manufacturing increased from 18.67 percent in 2023 to 20.8 percent in 2025 and 21.9 percent in 2029.

2. Leadership and influence in the international world are increasing, with the Global Power Index indicator increasing, from rank 34 in 2023 to rank 33 2025 and rank 29 in 2029.

3. Poverty decreases and inequality decreases, with indicators, namely the poverty rate decreases from 9.03 percent in March 2024 to 7.0 percent to 8.0 percent in 2025 and the range of 4.5 percent to 5.0 percent in 2029.

In addition, extreme poverty, which refers to the extreme poverty line standard set by the World Bank, amounted to US $ 2.15 per capita per day.

Next, the Gini ratio decreased from 0.379 in March 2024 to 0.378-0.382 in 2025 and 0.372-0.375 in 2029. As well as the contribution of Gross Regional Domestic Products in Eastern Indonesia (GDP KTI) increased from 20.9 percent in 2023 to 21.4 percent in 2025 and 22.4 percent in 2029.

4. Human resource competitiveness increases, with indicators of the Human Capital Index (LMM) increasing from 0.54 in 2020 to 0.56 in 2025 and 0.59 in 2029.

5. The intensity of greenhouse movement (GHG) emissions decreased towards net zero emissions, with indicators of reducing the intensity of GRK emissions from 34.09 percent in 2022 to 35.53 percent in 2025 and 45.17 percent in 2029. Next, the environmental quality index increased from 72.54 in 2023 to 76.49 in 2025 and 77.20 in 2029.