Chair of the National Economic Council (DEN) Luhut Binsar Pandjaitan has informed President Prabowo Subianto that Indonesia’s economic conditions are expected to remain secure over the next three months. This assessment follows a comprehensive economic simulation reported in a written statement on Wednesday, April 22, 2026.
Stability Amid Global Uncertainty
Luhut described the nation’s economic fundamentals as strong, asserting that the current outlook is “very safe, and secure.” However, the government is not relying solely on this stability.
Anticipatory policy scenarios are being formulated as mitigative measures. These plans are designed to address potential risks should geopolitical tensions persist longer than expected.
Fiscal Resilience and Energy Risks
A primary focus of these mitigative efforts is the potential for surging energy prices. Specifically, the government is monitoring the widening gap between global crude oil prices and domestic fuel selling prices.
Regarding fiscal health, the government has guaranteed that the State Budget (APBN) will remain controlled. The fiscal deficit is expected to be maintained below 3 percent of the Gross Domestic Product (GDP).
This target may be achieved through measured expenditure efficiency and by optimizing revenue from key export sectors, including palm oil and coal.
Strategic Opportunities and Growth
To maintain momentum in the real sector, the government intends to expedite deregulation. This non-fiscal stimulus aims to remove structural barriers, simplify licensing, and provide greater legal certainty for business players.
Luhut indicated that the current geopolitical climate is viewed as both a challenge and a strategic opportunity. The government is pushing for the acceleration of digital government transformation, known as GovTech.
the development of the Indonesia Financial Center is being strengthened. These steps are intended to capture potential shifts in global capital flow, moving the strategy beyond mere survival toward active capitalization of the global situation.
Frequently Asked Questions
What is the economic outlook for Indonesia for the next three months?
Based on comprehensive simulations, the economic conditions are described as very safe and secure, supported by strong economic fundamentals.
How will the government maintain the fiscal deficit?
The government aims to keep the fiscal deficit below 3 percent of the GDP through appropriate spending efficiency and by maximizing revenue from leading export commodities like coal and palm oil.
What measures are being taken to protect the EV battery ecosystem?
The government is emphasizing the maintenance of the supply chain for strategic commodities, specifically sulfur, to ensure the nickel industry downstreaming program and EV battery development are not disrupted by global dynamics.
How should a nation balance immediate economic stability with long-term structural deregulation during global geopolitical tension?
