Indonesia lawmakers push budget reforms to safeguard middle class and rationalize Jakarta spending

Deputy Chair of the DPR's Commission XI, Mukhamad Misbakhun, warned that the 2027 state budget (APBN) must protect the purchasing power of Indonesia's middle class and avoid adding new tax burdens. He emphasized the middle class's role as a key driver of domestic consumption and called for fiscally equitable policies that sustain economic growth.

Jakarta DPRD member Lukmanul Hakim urged a rationalisation of the 2026 regional budget (APBD) to mitigate risks from a weaker rupiah and rising fuel prices. He said the budget should be adjusted to prevent cost overruns in infrastructure projects and safeguard vendors, while also optimising regional revenue to maintain fiscal stability.