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Reasons Why The Government Launched 5 Economic Stimuli Of IDR 24.44 Trillion

The government will provide five economic stimulus packages during June-July 2025. Finance Minister Sri Mulyani Indrawati stated that the total budget allocated is IDR 24.44 trillion consisting of IDR 23.59 trillion from the APBN and IDR 85 billion from non-APBN. 

According to Sri, the purpose of this incentive is to maintain Indonesia's economic growth in the second quarter of 2025. "We hope that in the second quarter economic growth can still be maintained at close to 5 percent from what was previously estimated to weaken due to global conditions," she said in an official statement on Monday, June 2, 2025. 

The five packages consist of transportation discounts covering 30 percent train tickets and 50 percent discounts on sea transportation tickets. Next is the Value Added Tax facility borne by the government (PPN DTP) for plane tickets of 6 percent. 

The second package is a 20 percent toll tariff discount for 110 million drivers in June-July 2025. Third, thickening social assistance (bansos) through additional basic food card assistance worth IDR 200,000 per month and food assistance in the form of rice of 10 kg per month. The assistance is given to 18.3 million beneficiary groups (KPM) during June-July 2025 and distributed once in June 2025. 

Fourth, the government provides wage subsidy assistance (BSU) worth IDR 300,000 per month to 17.3 million workers with salaries of less than IDR 3.5 million per month or below the provincial minimum wage. Fifth, the government will extend the 50 percent discount on work accident insurance (JKK) contributions for 2.7 million workers in six labor-intensive industrial sub-sectors for six months. 

The state treasurer hopes that all of these stimuli can maintain household consumption as well as equalize public welfare amid the global economic slowdown. "With the growth that we maintain, poverty and open unemployment are also expected to decrease faster," he said. 

Previously, Secretary of the Coordinating Ministry for Economic Affairs Susiwijono Moegiarso said that the provision of stimulus was aimed at encouraging the achievement of economic growth targets. As is known, in the first quarter of 2025 the Indonesian economy only grew 4.87 percent. Slowing down compared to the fourth quarter of 2024 which was 5.03 percent or the first quarter of 2024 which still grew 5.11 percent. 

According to Susi, the government wants to maintain economic growth in the second quarter of 2025 at the level of 5 percent. The government is also taking advantage of the moment of the distribution of the 13th salary to encourage spending. "The event is a June-July holiday, so we are using this holiday as a government strategy to build people's purchasing power and encourage spending," he said. 

Tag: APBN Finance Minister Sri Mulyani Indrawati