Finance Minister Vows to Keep State Budget Deficit Below 3% in IMF Meeting

TEMPO.CO, Jakarta - Finance Minister Sri Mulyani Indrawati reaffirmed that Indonesia’s state budget deficit will remain below 3 percent, in line with the mandate of the state budget law.

She conveyed this commitment during a meeting with the International Monetary Fund (IMF), represented by First Deputy Managing Director Gita Gopinath.

The discussion focused on global economic instability, which has pushed countries to prioritize domestic economic resilience.

“In this context, Indonesia is committed to maintaining the health of the state budget as a measure to anticipate various global risks,” Sri Mulyani stated on her Instagram @smindrawati on Friday, June 20, 2025.

“The state budget continues to be managed carefully and wisely, and the public purchasing power is protected through various stimuli to encourage household consumption.

In addition, Indonesia is also committed to keeping the deficit under control in line with the limits set by the state budget law,” she said.

Sri Mulyani emphasized that while Indonesia remains optimistic in facing global uncertainty, it continues to exercise caution to ensure development stays on track despite external challenges.

“Hopefully, with synergy between the government and all elements of society, we can maintain Indonesia’s sustainable growth,” she added.

She made a similar statement at the Economic Update 2025 forum in Jakarta on Wednesday, June 18, 2025.

According to her, the current wave of global uncertainty could bring lasting shifts, which is why the state budget must be prepared to cushion any future pressures.

Under the leadership of President Prabowo Subianto, Indonesia is advancing its national vision, Asta Cita, with the state budget playing a central role in supporting key programs.

As development continues, the state budget is designed to function as a countercyclical tool, ready to mitigate both domestic and global shocks.

As of May 2025, the state budget recorded a deficit of Rp21 trillion, or 0.09 percent of the Gross Domestic Product (GDP).

State revenue reached Rp995.3 trillion, while expenditures totaled Rp1,016.3 trillion.

Despite this, the deficit remains well below the target outlined in the state budget law: Rp 616.2 trillion or 2.53 percent of GDP.

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