By Nancy Dora )*
President Prabowo Subianto’s firm move in directing the unblocking of the state budget marks a new chapter in more adaptive and strategic national fiscal management. Through the policy of unblocking the budget worth Rp134.9 trillion, the government has demonstrated a strong commitment to accelerating priority development programs that are directly related to the needs of the people. This action is in line with the spirit of efficiency and accuracy of targets, as mandated in Presidential Instruction (Inpres) Number 1 of 2025 concerning efficiency of ministry/institution spending and transfers to regions.
This fiscal policy is not merely a matter of disbursing previously withheld funds, but rather a form of comprehensive adjustment to the direction of national development which now focuses on strategic sectors such as infrastructure, education, health, food and energy security, and social protection. This step is also a concrete form of implementing President Prabowo’s vision to accelerate growth and equitable development throughout the country.
The unblocking of this budget is the result of a significant savings process, in which the government has succeeded in creating efficiencies of Rp306.7 trillion. Of this amount, Rp256.1 trillion came from savings in 99 ministries/institutions (K/L), and Rp50.6 trillion from transfer efficiencies to regions. This means that the state is not only implementing efficiency as a form of savings, but also as a strategy to rearrange priorities so that state spending truly produces optimal benefits for the public.
Finance Minister Sri Mulyani said that of the total budget that has been opened, Rp48 trillion came from 23 K/L, and another Rp86.9 trillion came from 76 K/L. The allocation is not just to restore spending to its original position, but is instead directed to support new priorities initiated by the President. This reflects the strong synergy between fiscal policy and the direction of the central government’s strategic development.
In the macro-economic context, the unblocking of this budget has a positive impact on the dynamics of the national economy. With the faster realization of state spending, the circulation of money in the community will increase, providing direct stimulus to the real sector both at the center and in the regions. This condition is considered very strategic in maintaining the momentum of economic recovery and growth amid ongoing global challenges.
Deputy Chairman II of the Indonesian Economists Association (ISEI) Yogyakarta, Rudy Badrudin, welcomed the government’s move to unblock the budget. According to him, this decision has been eagerly awaited by many parties, especially local governments who have been waiting for clarity on spending allocations to support local development programs. He considered that unblocking the budget not only provides more fiscal space, but also allows regions to respond to development needs more flexibly.
Rudy added that the opened spending allocation allows previously delayed activities to be executed immediately. Regions can now re-arrange their priority programs more precisely, because there is clarity in budget support from the center. This shows that the fiscal approach taken by the central government has succeeded in creating policy harmony between the center and the regions.
In addition, this policy also gives a positive signal to economic actors and the wider community that the government is very serious about maintaining stability and sustainability of development. By focusing on efficiency and accuracy of spending, every rupiah of the state budget will work more optimally in encouraging inclusive and sustainable development. The government wants state spending to no longer be routine and consumptive, but productive and have a real impact.
The Presidential Instruction on efficiency also emphasizes the importance of discipline in state spending. All ministries and institutions are required to take savings measures and adjust work programs to be more adaptive to national development priorities. In this case, the active role of ministries/institutions is very important to ensure that the budget that has been opened is truly absorbed effectively and on target.
The unblocking of the budget is also proof that under the leadership of President Prabowo Subianto, the country is not only focused on increasing revenue, but also on managing spending efficiently, transparently and accountably. This is a reflection of the government’s determination to ensure that the state budget is used optimally for the welfare of the people.
Furthermore, this step will also strengthen Indonesia’s competitiveness at the global level. Accelerated infrastructure development, improved education, expanded health services, and strengthened food and energy security are all important foundations for Indonesia to become an advanced and economically sovereign country.
With President Prabowo’s firm direction, the momentum of national development has entered a new phase that is more structured, efficient, and results-oriented. This marks that the development agenda is not just an annual routine program, but rather part of a major transformation that demands synergy between fiscal policy, development planning, and strong supervision.
In the future, supervision of the realization of the budget from the unblocking must be carried out strictly and continuously. The central and regional governments must work together to maintain the integrity and accountability of budget use, so that the great ideals of equitable and just national development can be fully realized. Unblocking the budget is not the end, but the beginning of a long journey towards a more advanced, independent, and prosperous Indonesia.
)* The author is a financial and banking observer
