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Government Optimistic About Achieving Economic Growth Target Through Stimulus Program

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By: Meliana Kede

The government continues to show an optimistic attitude in facing the uncertain dynamics of the global economy, with the belief that the national economic growth target of 5.2 percent in 2025 can be achieved. This optimism does not come without reason, because a number of strategies and policies have been designed to drive the economy, maintain the stability of household consumption, and increase the competitiveness of domestic investment.

Sri Mulyani said that even though the world is facing economic slowdown, the Indonesian government is still targeting 5.2 percent growth. The policies that will be implemented are not only limited to increasing state spending, but also include expanding the reach of social assistance which is considered to play a vital role in maintaining domestic consumption resilience. These steps are part of a grand strategy to ensure that the foundation of the Indonesian economy remains strong and able to withstand external shocks.

National Economic Council member Arief Anshory Yusuf added the view that social assistance should not be seen as mere government spending. According to him, social assistance is a form of long-term investment that has a dual impact, namely maintaining current economic growth while opening up opportunities for better human development in the future. This statement reinforces the perspective that government economic stimulus has an important social dimension to consider.

The ongoing Free Nutritious Meal Program is also part of the government’s holistic approach. This policy not only aims to reduce malnutrition rates in children and the poor, but is also considered part of a long-term economic intervention that can improve the quality of Indonesia’s human resources. In addition, the government is committed to simplifying regulations that have been obstacles to the national investment climate, as well as distributing an economic stimulus package in the second quarter of 2025.

With various approaches that have been prepared, the government hopes to maintain macroeconomic stability while preparing the foundation for more inclusive growth. Collaboration between ministries and institutions, as well as active community involvement, are important keys to realizing equitable and sustainable growth. In this context, achieving the 5.2 percent growth target is not something pessimistic, but rather very possible to be realized if all elements of the nation move in one direction.

Meanwhile, in July 2025, the government will again disburse social assistance as part of a strategy to maintain the purchasing power of low-income people who are vulnerable to economic turmoil. The disbursement of this assistance is a continuation of the policy that began in June and is aimed at maintaining the continuity of household consumption, one of the main drivers of Indonesia’s economic growth.

Based on data from the Ministry of Social Affairs, to date around 80 percent of social assistance has been distributed to Beneficiary Families. Minister of Social Affairs Saifullah Yusuf revealed that the distribution of assistance has reached 80 percent, including additional assistance in the social assistance thickening program. This process has also been reported to the President. The aid funds that have not been distributed are currently allocated to new recipients, who are waiting for the opening of accounts as part of a more orderly and transparent aid distribution mechanism.

The number of social assistance recipients is quite significant. According to official reports, the Family Hope Program has reached more than 8 million recipients or 80.3 percent of the total target. Meanwhile, basic food assistance has been received by more than 14 million people or around 81 percent of the total target. This figure shows the effectiveness of the distribution system that relies on a solid database.

The success of this distribution is supported by the use of the National Socio-Economic Single Data (DTSEN), which is the main reference in determining aid recipients. This data-based approach is important so that economic stimulus really reaches the groups that need it most and is not misused by unauthorized parties. In the context of the global economic downturn that has an impact on the decline in people’s purchasing power, this policy is a social cushion that is much needed by millions of families in Indonesia.

The addition of social assistance for the period of June and July 2025 is also an important part of the national economic stimulus package. The government has allocated a budget of IDR 11.93 trillion for the implementation of this policy. The additional assistance includes a Basic Food Card worth IDR 200,000 per month and food assistance in the form of 10 kilograms of rice every month. Each type of assistance is intended for around 18.3 million Beneficiary Families for two months, as a form of the government’s commitment to maintaining the sustainability of lower-class consumption.

This policy also reflects the government’s rapid response in anticipating the risk of economic weakness originating from abroad. By strengthening household consumption, expanding social protection, and simplifying regulations for investors, Indonesia shows that its policy direction is not only reactive, but also proactive and strategic.

Ultimately, Indonesia’s success in achieving its 2025 economic growth target depends heavily on the consistency of policy implementation and the unity of all elements of the nation. The government has directed an inclusive and progressive strategy, and has shown a clear bias towards the lower classes.

Now, it is time for the community to take part by maintaining the spirit of mutual cooperation, overseeing the implementation of policies, and contributing to driving the local economy. With togetherness and real work, the ideal of achieving fair and sustainable economic growth is not impossible.

Macroeconomic Analyst – Nusantara Economic Center (SEN)

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