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2026 Social Assistance Policy Strengthens Purchasing Power and Social Resilience

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By: Dhita Karuniawati )*

The 2026 social assistance (bansos) policy once again occupies a strategic position in the national development agenda. Amid global economic dynamics still overshadowed by uncertainty, the government positions social assistance as a crucial instrument to safeguard people’s purchasing power while strengthening social resilience. This policy is not only intended as a social safety net, but also as a pillar of economic stability and a foundation for inclusive and equitable development.

The government continues and strengthens various ongoing social assistance programs, such as the Family Hope Program (PKH), Non-Cash Food Assistance (BPNT), basic food assistance, and other thematic and responsive social assistance schemes. These programs target millions of beneficiary families across Indonesia, with the primary objective of maintaining access to basic needs, particularly food, education, and healthcare. Through this scheme, the government seeks to ensure that no segment of society is left behind in the development process.

Minister of Social Affairs Saifullah Yusuf (Gus Ipul) confirmed that the government will begin distributing the first phase of regular social assistance in February 2026. This distribution covers several main programs, including Direct Cash Assistance (BLT), the Family Hope Program (PKH), and Non-Cash Food Assistance (BPNT), which are intended to help maintain people’s purchasing power.

Saifullah Yusuf stated that the regular social assistance is planned to reach around 18 million beneficiary families (KPM) across various regions of Indonesia.

The disbursement of the first phase of social assistance will take place close to the period of the Ramadan fasting month and the celebration of Eid al-Fitr 1447 Hijri. The government hopes that this assistance will help ease the expenditure burden of beneficiary families, particularly in meeting food and other basic needs.

Saifullah Yusuf expressed hope that the distribution of social assistance will run smoothly and deliver tangible impacts for the community. The government also continues to improve the quality of beneficiary data to ensure that assistance programs are increasingly well targeted.

The Minister of Social Affairs explained that so far, social assistance distribution has been carried out through two main channels. The first is through state-owned banks grouped under Himbara, and the second is through PT Pos Indonesia. These two channels are the most commonly used by the government to ensure that social assistance reaches the public directly. This scheme is considered helpful in making the distribution process more orderly, including in beneficiary data management and the disbursement of funds or distribution of assistance.

However, the government is also opening space for evaluation so that future social assistance distribution can be more effective. This evaluation includes plans to involve other parties as distribution channels, one of which is village cooperatives.

In 2026, the social assistance policy is also directed at responding to structural challenges faced by the community, such as rising food prices, the impacts of climate change, and the risk of natural disasters. Food and basic needs assistance serve as important instruments to mitigate inflationary pressures at the household level. With social assistance in place, low-income households retain fiscal space to meet basic needs, thereby maintaining quality of life and family resilience.

Beyond strengthening purchasing power, the 2026 social assistance policy has an important dimension in safeguarding social resilience. Social resilience is not only related to the community’s ability to endure difficult situations, but also encompasses social stability, a sense of justice, and public trust in the state. Well-targeted, transparent, and accountable distribution of social assistance is key to preventing social jealousy and potential conflicts within society. In this regard, the government continues to improve data systems and distribution mechanisms so that assistance truly reaches those who are entitled to receive it.

Updating beneficiary data is one of the main focuses of the 2026 policy. The government is working to integrate various social databases to enhance accuracy and reduce the potential for overlap or mistargeting. With more valid and up-to-date data, social assistance policies are expected to be more effective and efficient, while also strengthening public trust in social protection programs.

Digitalization is a key element in the distribution of social assistance in 2026. The use of non-cash systems through banking services and digital platforms is considered capable of enhancing transparency, accelerating distribution, and minimizing the potential for misuse. At the same time, the government remains mindful of challenges related to financial and digital literacy among beneficiary communities. Assistance and education continue to be provided so that the digitalization of social assistance does not instead create new barriers for vulnerable groups.

From a macroeconomic perspective, the sustainability of the 2026 social assistance policy generates a significant multiplier effect. By maintaining household consumption, economic activity at the local level continues to move, particularly in the trade sector and small businesses. Social assistance also functions as an economic buffer during periods of slowdown, thereby helping to maintain national economic stability. In the long term, this policy contributes to efforts to reduce poverty and social inequality.

Overall, the 2026 social assistance policy reflects the state’s commitment to protecting the public while maintaining national stability. Through a more integrated approach between social protection and economic empowerment, social assistance is expected to strengthen people’s purchasing power in the short term and build sustainable social resilience in the long term. The success of this policy will be one of the key determinants in realizing inclusive, equitable development oriented toward public welfare.

*) The author is a Contributor to the Indonesian Strategic Information Studies Institute

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