Indonesia Slashes Unproductive Spending, Saves Over 300t Rupiah

JAKARTA, Feb 14 — Indonesia has saved more than Rp308 trillion (RM71.5 billion) in the first year of President Prabowo Subianto’s administration after slashing unproductive expenditure and improving budget efficiency.

He said the fiscal consolidation resulted from tighter internal budget controls, including reductions in overseas travel, ceremonial activities, and non-essential meetings and studies.

“There is no need for excessive studies and analyses. If there is a shortage of infrastructure, we act. If villages need bridges, we build them. If people are hungry, we provide food.

“Through these measures, we have saved Rp308 trillion, and we can do even more. We must close and reduce leakages,” he said during the Indonesia Economic Outlook 2026 forum in Jakarta today.

Prabowo added that the savings have been channelled into priority programmes with direct economic and social impact, including the Free Nutritious Meals (MBG) initiative, which has so far benefitted 60.2 million recipients.

The ambition of becoming a developed nation must be pursued through a measured strategy, particularly by optimising the management of national resources to ensure the greatest possible prosperity for the people.

“We have high aspirations, but we maintain a realistic stance. What is important is that we safeguard and manage the nation’s wealth and natural resources, and utilise them to the fullest extent for the benefit of all Indonesians; that is our objective,” he said.

The President emphasised that strengthening the national economy must begin internally by building self-reliance and competitiveness. 

Prabowo also reaffirmed his determination to eradicate corruption across all levels, stressing that there must be no compromise in law enforcement while upholding justice.