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Indonesia rolls out year-end stimulus to support growth

The government has allocated Rp883 billion for holiday transport discounts covering rail, sea transport, ferries and flights.

By Maya Santos

Passenger train at a railway platform in Indonesia
Photo: Antara News

Indonesia is implementing fourth-quarter stimulus programmes to help maintain economic growth, including wage subsidies and holiday transport incentives, Deputy Coordinating Minister for Economic Affairs Dradjad Hari Wibowo said.

The measures include assistance with new bank account openings and Wage Subsidy Assistance (BSU). The government has also allocated Rp883 billion to fund discounts on rail journeys, sea transport, ferry services and flights over the Christmas 2026 and New Year 2027 holidays.

Wibowo said greater travel and consumer spending during the holidays would support regional economic activity. He said the benefits would reach trade, handicrafts, small industries and household businesses as well as tourism, adding that the government wanted travel to be safe, comfortable and affordable.

Statistics Indonesia (BPS) reported on November 5 that the economy expanded by 5.47 per cent year-on-year in the third quarter of 2026, compared with 5.29 per cent in the preceding quarter.

Domestic demand, especially household consumption, was the main expenditure-side driver. Household consumption rose by 5.04 per cent year-on-year, supported by greater public mobility and entertainment and sporting events. Wibowo said the government remained committed to policies that protect purchasing power and respond to public needs.

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