Economic Improvement is a Government Priority in Response to Public Aspirations

Jakarta — The government has reaffirmed its commitment to making economic recovery a top priority in responding to public aspirations, including the demands voiced by various segments of society. Various strategic steps are being taken, including strengthening fiscal and monetary policies, accelerating state spending, and compiling more comprehensive employment data.
Finance Minister Purbaya Yudhi Sadewa revealed that the national economic performance is showing positive results. The latest data from the Central Statistics Agency (BPS) recorded Indonesia’s economic growth of 5.12 percent in the second quarter of 2025. This growth was supported by a 5 percent increase in household consumption and a 6.99 percent increase in investment. The manufacturing sector, the largest contributor to the economy, also recorded impressive performance, growing 5.68 percent, the highest since 2022.
“Our manufacturing sector has begun to recover in Q2. Perhaps Q3 slowed slightly, but Q4 will certainly grow even faster thanks to economic recovery and increased demand due to the increased money supply in the economic system,” said Finance Minister Purbaya.
He emphasized that the synergy between fiscal and monetary policies would continue to be strengthened to maintain growth momentum. Bank Indonesia had previously lowered its benchmark interest rate by 25 basis points to loosen banking liquidity and encourage productive financing.
“Now we have everything set up to accelerate the economy. Consumption and investment will increase due to lower interest rates, and the multiplier effect on growth will be even more significant,” he said.
In line with this, Deputy Minister of Finance Suahasil Nazara stated that state spending realization as of August 31, 2025, reached IDR 1,960.3 trillion, or 54.1 percent of the total State Budget. This expenditure comprised IDR 1,388.8 trillion in Central Government Expenditures (BPP) and IDR 571.5 trillion in Regional Transfers (TKD). The TKD achievement was higher than the same period the previous year due to improvements in the delivery mechanism and compliance with distribution requirements by regional governments.
Despite this, regional spending contracted by 14.1 percent. This was influenced by leadership changes in several regions and the implementation of efficiency policies. However, according to Suahasil, the State Budget (APBN) continues to fulfill its crucial function as an instrument of national development.
“The State Budget (APBN) continues to strive to ensure quality spending across Indonesia. State spending is a unified whole, encompassing the Regional Budget (BPP) and Regional Budget (TKD). It is a unified whole that promotes improved public welfare,” he said.
Beyond fiscal aspects, the government is also strengthening the workforce foundation as a long-term economic pillar. Deputy Minister of Manpower Afriansyah Noor emphasized the importance of economic censuses and statistics in formulating better employment policies.
“The economic census plays a crucial role in workforce development. Through this census, we obtain a comprehensive picture of the structure of economic development and employment,” he said.
Afriansyah explained that in the era of digital transformation, statistics no longer simply present numbers, but also insights that have a real impact on policymaking. “With data integration, we present not only numbers, but also impactful insights,” he emphasized.
These various government measures demonstrate the government’s commitment to maintaining stability while accelerating national economic recovery. Measured policy synergy, government spending directed toward quality programs, and more integrated employment data are expected to address public aspirations for improved welfare.
With positive achievements amidst global challenges, optimism that the Indonesian economy will continue to grow sustainably is growing. The government ensures that policy direction will remain focused on inclusive economic recovery, ensuring that its benefits are felt by all levels of society.