Govt Urges Businesses to Expand Investments Amid Global Uncertainty

  • 29 Jun 2026 15:10 WIB
  •  Voice of Indonesia
Poin Utama
  • The Indonesian government is encouraging businesses to capitalize on global economic uncertainty, as capital goods are now relatively more competitive.
  • To sustain economic growth in the second half of 2026, the government is preparing a stimulus package worth IDR 26.34 trillion.

RRI.CO.ID, Jakarta - Opportunities for investment expansion in Indonesia remain wide open amid global economic uncertainty. The government is encouraging businesses to capitalize on these conditions, as capital goods are now relatively more competitive.

Coordinating Minister for Economic Affairs, Airlangga Hartarto, said global economic turmoil actually creates momentum for companies to increase their investments. According to him, capital goods become very competitive -- or relatively inexpensive -- in situations like this.

“Opportunities like this don’t come around twice. So, for companies looking to expand, this is the perfect time,” Minister Airlangga said in a statement in Jakarta on Monday, June 29, 2026, as quoted by Antara.

Minister Airlangga explained that Indonesia’s economy grew by 5.61 percent year‑on‑year in the first quarter of 2026, exceeding projections from several international institutions and surpassing the average growth rate of ASEAN countries.

He added that the inflation rate in May was around 3 percent, while the Consumer Confidence Index (CCI) remained above 100.

Indonesia’s trade balance also showed a positive trend at USD 0.09 billion in April. Meanwhile, the manufacturing Purchasing Managers’ Index (PMI) stayed relatively strong at the 50‑point level.

“Additionally, foreign exchange reserves in May stood at approximately USD 144.9 billion. So, relatively speaking, the economy remains on a positive track,” Minister Airlangga said.

To sustain economic growth in the second half of 2026, the government is preparing a stimulus package worth IDR 26.34 trillion (approximately USD 1.47 billion).

The program includes food assistance, soybean stabilization subsidies, transportation discounts, and various consumption incentives during the school break through Christmas and New Year’s.

The government will also launch a national internship program for recent graduates in July 2026, lasting six months, in the industrial, service, and digital economy sectors.

In addition, around 220,000 vocational high school graduates will participate in vocational and reskilling programs to enhance workforce competitiveness. At the same time, the development of a financial hub in Bali and green energy projects under the JETP scheme are being prepared as part of long‑term economic transformation. ***

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