Jakarta – The Indonesian government has reaffirmed its commitment to maintaining the stability of national economic growth by rolling out a stimulus package worth Rp24.4 trillion. This step was taken in response to the potential slowdown in public consumption and increasing external pressures that are looming over the global economy.
The stimulus launched in mid-2025 is aimed at strengthening household consumption and keeping second-quarter economic growth close to 5%, after only reaching 4.87 percent in the first quarter.
This is an anticipatory step. Global risks are increasing, especially from trade tensions between major countries. We want to keep the domestic economy resilient, said the Director General of Economic and Fiscal Strategy at the Ministry of Finance, Febrio Nathan Kacaribu.
The stimulus package launched consists of five main programs. The first program is direct assistance for public transportation worth Rp940 billion, which includes a 30 percent discount on train tickets for 2.8 million passengers, a 6 percent Value Added Tax (VAT) exemption for economy class plane tickets for 6 million passengers, and a 50 percent discount on sea transportation fares for 500 thousand passengers.
The second program is a 20 percent toll rate cut funded through a non-APBN scheme, with an estimated subsidy value of Rp650 billion. This cut is enforced during school holidays to support smooth public mobility.
The third program is in the form of thickening social protection, through additional assistance of Rp200 thousand per month to 18.3 million Beneficiary Families (KPM) of the Basic Food Card Program for two months. In addition, food assistance is also distributed in the form of 10 kilograms of rice per month.
Furthermore, wage subsidy assistance is provided to 17.3 million workers with salaries below IDR 3.5 million and 565 thousand honorary teachers.
Recipients will receive additional income of IDR 300 thousand per month for two months, explained Febrio.
The latest program is a 50 percent discount on Work Accident Insurance (JKK) contributions for six months for 2.7 million workers in the labor-intensive sector. This incentive comes from non-APBN funds of Rp20 billion.
Coordinating Minister for Economic Affairs, Airlangga Hartarto, said that this stimulus is expected to increase household consumption by 0.5 to 0.8 percent.
We are trying to ensure that the engine of economic growth, namely domestic consumption, does not lose momentum. By maintaining purchasing power, the real sector can move faster, he said.
The distribution of aid will rely on data from DTKS, BPJS Ketenagakerjaan, and Bulog, with strict supervision by BPKP and cross-ministerial. The government targets this program to run effectively during June and July 2025, so that its impact is felt directly by the community and supports confidence in fiscal policy amid global uncertainty.
