August 28, 2026 | 11:10 am
TEMPO.CO, Jakarta - Finance Minister Purbaya Yudhi Sadewa stated that the global economy is expected to continue facing high levels of uncertainty in 2027. While global economic growth is projected to improve, it remains constrained by various structural and cyclical risks that weigh on overall performance.
"The global economy in 2027 is expected to face complex dynamics and high levels of uncertainty," he said during a working meeting with the House Budget Committee at the parliamentary complex in Jakarta on Thursday, August 27, 2026.
Nevertheless, the former chief of the Deposit Insurance Corporation's (LPS) Board of Commissioners emphasized that the Indonesian economy remains stable and shows solid resilience. In the first half of 2026, Purbaya added, domestic economic growth reached 5.45 percent year-on-year. This performance was bolstered by robust domestic consumption, rising investment, and supportive government policies.
According to Purbaya, fiscal policy and the State Budget (APBN) are vital instruments in preserving stability. "Fiscal policy and the APBN strategy are essential to maintain macroeconomic stability and achieve prosperity for all Indonesians," he noted.
Purbaya explained that the 2027 State Budget Draft (RAPBN) is designed to accelerate economic growth through fiscal strategies focused on eight priority national program clusters. These eight clusters include food security, energy and water self-sufficiency, education, healthcare, industrial downstreaming, infrastructure, housing, disaster resilience, the grassroots economy and village development, and poverty reduction.
For 2027, Purbaya assured, the government will maintain the health, credibility, and sustainability of the state budget. "[This will be achieved] by boosting state revenue, refining expenditure efficiency, and pursuing innovative, prudent budget financing," he said.
Under the macroeconomic assumptions for the 2027 RAPBN, the government targets economic growth of 6.0 percent and an inflation rate of 2.5 percent. Additionally, the rupiah exchange rate is projected at 17,500 per US dollar, with the 10-year Government Bond (SBN) yield set around 6.9 percent. The state revenue-to-GDP ratio is projected at 12.25 percent, while the government debt ratio will be maintained within safe thresholds.
Meanwhile, the poverty rate in 2027 is targeted to fall to 6.0–6.5 percent, the Gini ratio to 0.362–0.367, and the open unemployment rate to between 4.30 and 4.87 percent. Development indicators also target a Human Capital Index of 0.575, a Farmer Welfare index of 0.8038, a formal employment creation share of 40.81 percent, gross national income per capita of US$5,800–5,840, and an Environmental Quality Index of 76.84.
Total state revenue in the 2027 RAPBN is targeted at Rp3,426.0 trillion, marking a 6.8 percent increase from the previous year's outlook. This figure comprises tax revenue of Rp2,908.0 trillion, non-tax state revenue of Rp517.4 trillion, and grant revenue of Rp700 billion.
Read: Minister Purbaya Says Economy Remains Resilient Amid Geopolitical Pressures
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