Indonesia's DPR Budget Board Chair Said Abdullah warns of fiscal strain amid regional salary hikes and PPPK protests

Chairman of the DPR Budget Board (Banggar), Said Abdullah, rejected a proposal to increase the salaries of regional heads, saying the government must first safeguard fiscal stability. He told reporters, "Fiskal kita, kita jaga dulu keberlangsungannya agar tetap stabil, sehat, dan berkelanjutan," and emphasized that fiscal health is essential for inclusive economic growth.

Abdullah also highlighted severe fiscal pressure on regions, citing a demonstration by contract employees (PPPK) in the city of Tidore who refused to be laid off. He urged the central government to promptly release shared‑revenue funds to enable local authorities to pay PPPK salaries, noting, "Kondisi fiskal di daerah sudah mengalami tekanan yang luar biasa." The statements come amid debates on linking regional officials' pay to local revenue and concerns about corruption and governance.