JAKARTA – Finance Minister Sri Mulyani Indrawati announced that the government will disburse an economic stimulus package to maintain the 5% growth target amid global economic uncertainty.

In a press release held in Jakarta on Monday (2/6), the stimulus package includes the following measures:

  • A 30% discount on railway (KA) transport fares with a total budget of IDR 0.3 trillion for the June–July 2025 period. In addition, a 6% government-covered Value Added Tax (VAT) discount for economy class airfares, with a budget of IDR 0.43 trillion for 6 million passengers, and a 50% discount on sea transport fares with a budget of IDR 0.21 trillion for 500,000 passengers. These discounts will apply from June to July 2025, with the total stimulus budget for all transport modes amounting to IDR 0.94 trillion.
  • A 20% toll tariff discount from June to July for an estimated 110 million vehicles, funded outside the state budget (non-APBN).
  • Additional social assistance for the most vulnerable and impoverished groups, valued at IDR 200,000 per month for two months, benefiting 18.3 million recipients. The government will also provide 10 kg of rice per month for two months.
  • Wage Subsidy Assistance (BSU) for 17.3 million workers earning below IDR 3.5 million or below the Provincial, regency, or city Minimum Wage (UMP). The assistance, valued at IDR 300,000 per month, will be distributed in June and July 2025. Additionally, the aid will be extended to 565,000 honorary teachers, including 288,000 teachers under the Ministry of Primary and Secondary Education (Kemendikdasmen) and 277,000 under the Ministry of Religious Affairs (Kemenag). The total budget for the BSU package stands at IDR 10.72 trillion.
  • Finally, the government will extend the 50% discount on Job Loss Insurance (JKK) contributions for 2.7 million workers in six labour-intensive industries for six months. The JKK contribution discount per sector will prioritise workers in the formal sector, particularly those earning below IDR 3.5 million.

(LK/KR/ZH)