Govt Allocates IDR 12.83 Trillion for Q1 2026 Stimulus
- 03 Feb 2026 12:42 WIB
- Voice of Indonesia
RRI.CO.ID, Jakarta - The Indonesian government is preparing an economic stimulus package worth IDR 12.83 trillion (USD 763 million) for the first quarter of 2026.
The package, scheduled for implementation between February and March, is aimed at boosting domestic consumption and economic growth during the Ramadan and Eid al-Fitr holiday season, according to Antara.
The package allocates IDR 12 trillion for social assistance programs, specifically providing 10 kilograms of rice and MinyaKita cooking oil to eligible households for two months.
In addition, IDR 200 billion has been earmarked for transportation incentives, including a 16 percent discount on domestic economy flight tickets through government-borne VAT and reduced airport taxes.
Travelers will also benefit from a 30 percent discount on train and sea transport, as well as a 20 percent reduction in toll road tariffs.
Coordinating Minister for Economic Affairs Airlangga Hartarto emphasized that these measures are intended to stimulate higher economic activity following a relatively slow first quarter last year.
Minister Airlangga clarified that the stimulus package does not include electricity tariff discounts, confirming that no such reductions are planned for 2026.
The largest portion of the package, totaling approximately IDR 12 trillion, has been dedicated to social assistance programs. These measures are designed to cushion low-income families against price fluctuations typically seen during the holiday season.
Under this initiative, eligible households will receive 10 kilograms of rice per month for two months, along with a two-month supply of MinyaKita, the government-subsidized cooking oil.
The timing of the stimulus is strategic. Minister Airlangga explained that the government is seeking to drive stronger economic activity in the first quarter to avoid the relatively lower growth rates recorded in the same period last year. By lowering travel costs and ensuring food security, the administration hopes to energize the “economic engine” across the archipelago.
“Our target is to boost the economy because the first quarter is crucial,” Minister Airlangga said during the Indonesia Economic Summit (IEC) in Jakarta on Tuesday, February 3, 2026. ***
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