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View all search resultsFiscal deficit far below 3% ceiling in October despite strong monthly rise
According to the latest budget figures presented by Finance Minister Purbaya Yudhi Sadewa, the state budget deficit remains well below the full-year ceiling with just two months left in the calendar year, which the minister attributes to fiscal discipline.
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Finance Minister Purbaya Yudhi Sadewa (right) delivers a presentation during the monthly budget update press briefing on Oct. 14, 2025. (Antara/Dhemas Reviyanto)
T
he state budget deficit remained well below the full-year ceiling of 3 percent of gross domestic product as of October, which the Finance Ministry attributes to the country’s fiscal discipline.
According to the latest data presented by Finance Minister Purbaya Yudhi Sadewa in a monthly state budget press conference on Thursday, the budget deficit stood at Rp 479.7 trillion (US$28.7 billion), or 2.02 percent of GDP, at the end of October, with just two months left in the calendar year.
The minister said the deficit was “well within the safe and controllable limit” and reflected “the commitment to fiscal discipline that remains strong”.
The October figure marks a noteworthy jump from the deficit at 1.56 percent of GDP in September, as spending increased last month, while revenue underperformed, yet it remains far from the full-year projection of 2.78 percent of GDP made in the middle of the year, which was an upward revision from the original figure of 2.53 percent of GDP in the 2025 state budget plan.
It is also much higher than the deficit of 1.37 percent of GDP logged in October last year.
The government has collected Rp 2.11 quadrillion in total state revenue in the first 10 months of the year, which is 6 percent less than in the equivalent period last year, as tax revenue saw a 3.8 percent year-on-year (yoy) contraction, while nontax income plummeted 15 percent yoy.
Speaking at the same press briefing, Deputy Finance Minister Suahasil Nazara revealed that all major tax items had seen an annual contraction.
