Prabowo Targets Stronger Economic Growth Through Creative Industries

RRI.CO.ID, Jakarta - President of the Republic of Indonesia, Prabowo Subianto, presented the Macroeconomic Framework and Fiscal Policy Principles (KEM-PPKF) for the 2027 State Budget Draft during the 19th Plenary Session of the House of Representatives at the DPR Building in Senayan, Jakarta, on Wednesday, May 20, 2026. In his speech, Prabowo targeted Indonesia’s economic growth to reach between 5.8 percent and 6.5 percent in 2027.

To support this target, the government set state revenue in the 2027 budget at 11.82 to 12.40 percent of gross domestic product (GDP). Meanwhile, state spending will be directed to become more efficient and productive, ranging from 13.62 to 14.80 percent of GDP, to support various national priority programs.

“I am confident that Indonesia’s economy can grow between 5.8 percent and 6.5 percent in 2027, toward achieving 8 percent economic growth by 2029. This growth must also be reflected in tangible improvements to people’s welfare,” Prabowo said in an official statement.

To realize this target, the government aims to increase formal job creation to 40.81 percent, higher than the previous achievement of 35 percent. At the same time, the open unemployment rate is targeted to decline to between 4.30 percent and 4.87 percent, compared to the previous target range of 4.44 to 4.96 percent.

However, Prabowo also encouraged Indonesia’s younger generation to compete boldly in the informal sector and entrepreneurship. According to him, Indonesia has many talented young people who need support through access to education and financing.

Therefore, Prabowo urged the Association of State-Owned Banks (Himbara) to provide financing support with more affordable interest rates. “This is what we are currently formulating together—not only providing education, but once they graduate, we also need to provide startup credit and opportunities for them to become strong new entrepreneurs,” he stressed.

Meanwhile, Minister of Creative Economy and Head of the Creative Economy Agency, Teuku Riefky Harsya, expressed optimism that the national economic growth target for 2027 can be achieved. According to him, the creative economy has now become a new engine of national economic growth.

This optimism is supported by the positive trend of Indonesia’s creative economy sector in recent years. In 2024, the creative economy contributed Rp1,611.15 trillion, or 7.28 percent, to national GDP.

Entering 2025, the sector continued to strengthen, recording export values of USD31.94 billion, investment realization reaching Rp183.01 trillion, and employment absorption of 27.4 million workers. These achievements further strengthen Indonesia’s ambition to increase the creative economy’s contribution to GDP to between 8.0 percent and 8.4 percent by 2029.

“We are optimistic that the national economic growth target announced by the President can be achieved. The creative economy has become a new engine of growth based on added value and intellectual property, with continuously increasing contributions to GDP, exports, investment, and job creation,” Teuku Riefky said.