Indonesia implements fiscal and land reforms to support economic growth

The Indonesian government is advancing several strategic initiatives to bolster national economic stability and infrastructure. The Ministry of Agraria and Spatial Planning/National Land Agency (ATR/BPN) has realized land procurement for 159,662 plots (covering 22,966.62 hectares) to support National Strategic Projects. Additionally, the ministry has completed land consolidation for 6,167 plots across 47 locations to improve spatial planning.

On the fiscal front, the government is preparing the 2027 State Budget (APBN) to act as an economic buffer against global uncertainty. The 2027 budget targets a revenue of Rp3,435.1 trillion and planned spending of Rp4,106.3 trillion, with a projected deficit of 2.4 percent of GDP. This fiscal strategy aims to maintain a deficit below the 3 percent legal limit while prioritizing education, social protection, health, and food security.

In the agricultural sector, plantation exports reached Rp503.3 trillion by August 2026, accounting for 93.78 percent of total agricultural exports. Projections from the National Food Agency (Bapanas) suggest Indonesia may achieve self-sufficiency in eight commodities by 2026, including rice, corn, sugar, poultry meat, eggs, shallots, and various chili types.