RRI.CO.ID, Jakarta - The Indonesian government is preparing measures to maintain national economic stability amid potential disruptions to the global supply chain following the closure of the Strait of Hormuz, triggered by the conflict between the United States, Israel, and Iran.

The Director General of Economic and Fiscal Strategy at the Ministry of Finance, Febrio Kacaribu, said the government will accelerate state spending and distribute economic stimulus to sustain growth momentum.

One of the main strategies is to evenly distribute state spending throughout the year to ensure stable economic activity in each quarter.

“We want economic growth to be more equitable throughout the year, so we are encouraging more equitable state spending,” Febrio said at the March 2026 edition of the State Budget (APBN KiTA) press conference in Jakarta on Wednesday, March 11, 2026, as quoted by Antara.

He added that the Ministry of Finance is working to accelerate government spending, aiming to maintain growth and achieve the 5.4 percent year-on-year target by the end of 2026.

As of February 28, 2026, realized state spending reached IDR 493.8 trillion, or 12.8 percent of the target, an increase of 41.9 percent compared to the same period last year.

State revenue performance is also considered strong enough to support accelerated spending. Tax revenues grew 30.4 percent year-on-year to IDR 245.1 trillion, or 10.4 percent of the target by the end of February 2026.

With accelerated spending and strong revenues, the government is targeting economic growth of around 5.5 percent in the first quarter of 2026, continuing the 5.39 percent achieved in the fourth quarter of 2025.

The government is also providing stimulus packages to encourage public consumption, particularly during Ramadan and ahead of Eid al-Fitr. These include a 30 percent discount on train tickets, a 30 percent reduction in basic sea transportation fares, the elimination of port service fees for ferry crossings, and discounts on airline tickets.

Food aid in the form of rice is being distributed to 35 million beneficiary families from deciles I to IV. The distribution of Holiday Allowances (THR) for State Civil Servants has reached IDR 24.7 trillion as of March 10, 2026.

According to Febrio, these incentives are expected to strengthen purchasing power and maintain economic activity at the start of the year.

“We hope that the distribution of THR will also boost people’s purchasing power during Ramadan and ahead of Eid al-Fitr, so that public spending in the first quarter can remain strong,” he said. ***