Indonesia’s State Revenue Jumps 21.4% in First Half of 2026 as Fiscal Deficit Remains Under Control

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HOLOPIS.COM, JAKARTA – Indonesia’s state revenue rose sharply in the first half of 2026, providing the government with greater fiscal flexibility to support economic growth while keeping the budget deficit at a manageable level.

State revenue reached Rp1,459.4 trillion (about US$89.6 billion) by the end of June, up 21.4% from the same period last year. Meanwhile, government spending totaled Rp1,656 trillion, an increase of 17.8% year-on-year.

“The 2026 state budget has continued to deliver strong performance in the first half of the year. Revenue reached Rp1,459.4 trillion, while government spending amounted to Rp1,656 trillion. The state budget continues to serve as a key driver of economic growth and national development,” Finance Minister Purbaya Yudhi Sadewa said, Holopis.com reported, Wednesday (22/7).

Speaking at the ministry’s APBN Kita press briefing on Tuesday, Purbaya said the increase in state revenue gives the government room to maintain an expansionary fiscal policy while preserving macroeconomic stability.

Beyond tax collections, non-tax state revenue reached Rp271 trillion, marking a 21.6% increase from a year earlier.

The government also recorded Rp10.2 trillion in grant revenue during the first six months of 2026.

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Fiscal Deficit Remains Manageable

Despite higher public spending, Indonesia’s fiscal position remained relatively healthy.

As of the end of June, the fiscal deficit stood at Rp196.5 trillion, equivalent to 0.76% of gross domestic product (GDP).

Purbaya said the figures demonstrate that the state budget continues to function effectively as a tool for maintaining economic stability while financing the government’s development agenda.

“This shows that Indonesia’s fiscal position remains strong. We are optimistic that the state budget will continue to be an effective instrument for maintaining stability, supporting economic growth and development, and strengthening the foundations of future economic expansion,” he said.

The government expects the positive revenue trend to continue through the remainder of the year, helping preserve fiscal space to finance priority national programs and sustain economic growth.

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