By: Alexandro Dimitri*)
Ahead of the holy month of Ramadan and the peak of the Eid al-Fitr exodus (mudik) tradition in 2026, the government has again launched a series of stimulus policies designed not merely as temporary incentives but as strategic efforts to maintain national economic momentum. Amid global dynamics and domestic challenges, this measure demonstrates the government’s sensitivity in aligning fiscal policy with public needs and ensuring smooth mobility, which contributes to economic growth.
The incentive package includes greater fiscal support than during previous holiday periods and reflects the government’s response to the dynamic economic conditions. The government has officially covered 100 percent of the Value Added Tax (VAT) on airline tickets for the 2026 Eid homecoming period, significantly exceeding the assistance provided during Christmas and New Year. This stimulus aims to make air travel more affordable for the general public while also boosting domestic purchasing power and consumption during the long holiday season, a crucial time for economic recovery.
Coordinating Minister for Economic Affairs Airlangga Hartarto emphasized that this incentive is not merely fiscal relief, but part of the government’s strategy to maintain national economic momentum at the start of the year. In his public statement to the media, Coordinating Minister Airlangga stated that this airline ticket stimulus is far more significant than during the previous holiday period, where the government fully covered the VAT on airline tickets. He also emphasized that implementing regulations for this stimulus are being drafted through a Minister of Finance Regulation and are targeted for completion soon. This measure is expected to provide certainty for people who want to book tickets early and anticipate a surge in demand.
Airlangga’s statement demonstrates the government’s commitment to utilizing fiscal instruments to ease the travel burden for the lower-middle class while maintaining the dynamics of domestic consumption, the primary driver of national economic growth. The Coordinating Minister for Economic Affairs also noted that the first quarter 2026 stimulus package includes various forms of social assistance and cross-modal transportation discounts, which have been carefully allocated by the government.
Meanwhile, Transportation Minister Dudy Purwagandhi emphasized the urgency of cross-agency collaboration in implementing this incentive policy. He stated that close coordination between relevant ministries and agencies is essential to ensure the policy’s swift finalization and sufficient time for the public to take advantage of the incentives, including booking transportation tickets. Purwagandhi also highlighted the importance of transportation discount programs, which apply not only to air travel but also to trains, sea transportation, and even toll rates, all designed to support public mobility during the long Ramadan and Eid al-Fitr holidays.
The Ministry of Transportation’s proactive approach demonstrates the government’s comprehensive attention to mobility as an integral part of its strategy to maintain economic momentum, particularly in the services and transportation sectors, which play a significant role in national economic activity. The combination of full VAT coverage, cross-modal discounts, and policy coordination to expedite regulatory finalization demonstrates strong synergy between ministries, agencies, and other implementing authorities.
Meanwhile, data from the Central Statistics Agency (BPS) reinforces the view that the Indonesian economy is moving in a positive direction. BPS Head Amalia Adininggar Widyasanti stated that Indonesia’s economic growth throughout 2025 was projected to reach around 5.11 percent annually, indicating an increase from the previous year. This growth was also supported by rising household consumption and strong domestic spending, as well as significant growth in several investment components at the end of the year.
According to Amalia, this relatively solid economic performance reflects the fundamental resilience of the national economy amidst various global challenges. The strong contribution of the domestic consumption sector also demonstrates that government stimulus, including through consumption and transportation incentive packages, such as during this Eid al-Fitr season, plays a crucial role in maintaining economic dynamics.
Given this data, the government’s move to provide economic incentives during the Eid al-Fitr holiday period is becoming increasingly relevant. Transportation cost relief and various discounts have the potential to boost public consumption across various sectors that are the backbone of the national economy, such as trade, services, transportation, and even the MSME sector. Increased public mobility during the holiday period can also expand market opportunities, particularly for small and medium enterprises (SMEs) in the regions.
Amidst the optimism stemming from economic growth figures, the government continues to emphasize that its fiscal policies are not only responsive to current needs but also oriented toward long-term recovery and strengthening. Economic incentives, such as those prepared for Eid al-Fitr 2026, demonstrate the government’s commitment to maintaining national economic stability and growth.
With various synergistic and measured policies, Indonesia’s economic momentum is expected to be maintained as we enter 2026 and contribute to the well-being of the wider community. Government support for economic activity, particularly during important moments like Eid al-Fitr, demonstrates concern for socio-economic dynamics and a strong commitment to maintaining national growth and stability.
*) The author is an economic observer
