Indonesia’s budget deficit for the 2024 fiscal year was lower than the government’s latest estimate of 2.7 percent of Gross Domestic Product (GDP), a top government official said.
Minister of Finance, Sri Mulyani Indrawati, said that the deficit figure was close to the government’s initial plan of 2.29 percent of GDP. She, however, did not provide the exact figure.
“This is an extraordinary result. We closed the year 2024 with a relatively healthy and safe budget, which will be a strong foundation for us entering 2025,” Sri Mulyani said at the Indonesia Stock Exchange’s New Year’s opening event, on Thursday, January 3, 2025.
She noted that state revenues also recorded positive growth, although still below the target set earlier. On the other hand, state spending increased by more than 6 percent compared to 2023, influenced by spending for the 2024 general elections, the construction of the new capital city (IKN) project, and additional welfare programs.
Sri Mulyani said further that details regarding the budget conditions would be disclosed at a later time. However, she emphasized that this achievement shows fiscal stability that continues to be maintained amid global economic challenges and increasing domestic needs.
This measure reflects the government’s efforts to maintain fiscal sustainability while continuing to support the development agenda and public welfare.
