Indonesia's new finance chief pledges to keep deficit under 3 percent

Suahasil Nazara took the oath of office as Indonesia’s finance minister at the State Palace on Monday and immediately set a clear fiscal target: keeping the deficit below 3 % of GDP. He argued that a trustworthy budget is essential for delivering the government’s priority programs in a sustainable way and for fostering economic growth while preserving stability. Citing President Prabowo Subianto’s instruction, Nazara emphasized that accountability and efficiency must guide all state spending, defining efficiency as the optimal use of current outlays to generate maximum public benefit rather than simple cuts.

He described this approach as part of a broader fiscal strategy that integrates revenue, expenditure and financing measures. Nazara also said he will review prior ministerial decisions and internal arrangements to ensure a smooth transition, succeeding Purbaya Yudhi Sadewa for the remainder of the 2024-2029 term.