Minister Purbaya Says Economy Remains Resilient Amid Geopolitical Pressures

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August 27, 2026 | 02:19 pm

Finance Minister Purbaya Yudhi Sadewa delivers a statement during the July 2026 edition of the State Budget (APBN KiTa) press conference in Jakarta, July 21, 2026. TEMPO/Martin Yogi Pardamean

TEMPO.CO, Jakarta Minister of Finance Purbaya Yudhi Sadewa stated that Indonesia's economy was able to withstand and face the dynamics of geopolitics and global uncertainties.

According to him, the increasing geopolitical tension not only disturbs global logistics, but also fundamentally changes the paradigm of multilateral economic cooperation. At the same time, global uncertainty increases the risk of an economic slowdown, financial market pressure, and investment decline.

Amid this situation, the former Chair of the Indonesia Deposit Insurance Corporation claimed that Indonesia's economy grew by 5.11 percent in 2025, with maintained deficits at 2.92 percent and 2.81 percent of Gross Domestic Product (GDP).

"We should be grateful that amid the turmoil, Indonesia's economic stability remains maintained," he said during the Plenary Session of the House of Representatives (DPR) which has ratified the Bill on Accountability for the Implementation of the 2025 State Budget at the Parliament Complex, Jakarta, on Thursday, August 27, 2026.

Purbaya attributed this achievement in 2025 to fiscal policies that also promoted public welfare. This condition, Purbaya stated, is also evident from the decline in unemployment and poverty rates last year.

The finance minister said the unemployment rate was 4.85 percent until August 2025, lower than the rate recorded in the same period in 2024, which was 4.91 percent. In September, the poverty rate decreased to 8.25 percent, down from 8.57 percent in the same period last year.

Purbaya stated that these achievements are the result of the collaboration and cooperation of all parties involved in building Indonesia. "A tangible form of hard work and solid collaboration in realizing the nation's goal of building Indonesia as a developed, just, and civilized country," he said.

Additionally, Purbaya mentioned that the government continues to consider the proposals and recommendations from the DPR factions in the Bill on Accountability for the Implementation of the 2025 State Budget. These inputs are considered beneficial for the government in implementing the state budget and finances. "The government is committed to implementing the recommendations in accordance with the regulations and laws," said Purbaya.

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