{
  "id": 8159858,
  "title": "Is Indonesia returning to fiscal orthodoxy?",
  "url": "https://urgent.news/2026/09/18/is-indonesia-returning-to-fiscal-orthodoxy",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-18T03:10:10.000Z",
  "source": {
    "name": "The Jakarta Post",
    "slug": "the-jakarta-post",
    "url": "https://www.thejakartapost.com/opinion/2026/09/18/is-indonesia-returning-to-fiscal-orthodoxy.html"
  },
  "original_language": "en",
  "account": "Indonesia may be returning to fiscal orthodoxy under the guidance of its new Finance Minister, Suahasil Nazara. The appointment comes after a period of economic uncertainty, with investors welcoming the move. However, the real test lies in maintaining fiscal discipline while Prabowo Subianto pursues his expansive political ambitions.\n\nThe proposed 2027 budget shows potential, with a projected deficit of 2.4 percent of GDP and revenue expected to rise by 6.8 percent. Yet, these figures depend heavily on Indonesia achieving an economic growth rate of 6 percent, a figure not seen since 2012.\n\nMaintaining the deficit goal will require mid-year spending cuts if growth or revenue does not meet expectations. Revenue mobilization is also a concern, as Indonesia needs a stronger tax base but has been reluctant to broaden the tax net. Despite a commitment of significant funds to programs like free nutritious meals, energy security, and food security, Indonesia's tax revenue remains relatively stagnant at around 10 percent of GDP.",
  "summary": "The new finance minister may reassure nervous markets, but the real test begins when fiscal discipline inevitably collides with President Prabowo’s expansive political ambitions.",
  "key_points": [
    "New Finance Minister Suahasil Nazara aims to restore fiscal orthodoxy.",
    "2027 budget projects 2.4% deficit, 6.8% revenue growth.",
    "Growth rate of 6% needed to meet deficit goal, not seen since 2012."
  ],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}