Prabowo Administration Reports Economic Gains, Investment Hits Over $1 Trillion

President Prabowo Subianto has instructed his government to publicize its economic and development successes as the administration approaches its two-year mark in October 2026. The directive emphasizes accountability to the public.

Coordinating Minister for Economic Affairs Airlangga Hartarto conveyed the President's message following a plenary cabinet meeting in Jakarta. He highlighted key economic indicators, including a Gross Domestic Product (GDP) growth of 5.61% in the first quarter of 2026. The government anticipates this growth rate will continue, with inflation expected to stay within the target range of 2.5% plus or minus 1%.

To support public purchasing power, the government has implemented various economic stimulus measures. These include discounts on transportation, food aid, holiday bonuses for civil servants, military, and police personnel, as well as aid for online motorcycle taxi drivers. Tax incentives, duty exemptions on LPG imports, and support for apprenticeship and vocational programs are also part of the package. Stimulus spending totaled Rp 70 trillion in the first quarter and Rp 26.34 trillion in the second quarter.

Investment realization for the second quarter of 2026 reached Rp 511.8 trillion. Cumulatively, investment for the first semester amounted to Rp 1.001 trillion, representing approximately 49% of the annual target of Rp 2 trillion. Both foreign and domestic investment contributions were nearly balanced, with PMA at Rp 257.7 trillion and PMDN at Rp 254.1 trillion.

In the energy sector, the government continues its B50 biodiesel program to bolster energy self-sufficiency and promote a national energy transition. The national electrification ratio reached about 99% in the first quarter of 2026. Additionally, policies on export earnings and natural resource management have received positive recognition from international rating agency Standard & Poor's for enhancing transparency and preventing transfer pricing and under-invoicing.

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The President conveyed the achievements made by President Pak Prabowo's government, which will be two years old this October. However, there are achievements that need to be communicated to the public.