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Govt earmarks Rp 7.8 trillion for second-half stimulus package

The government is allocating funds for transportation discounts during the school vacation period and the Christmas and New Year (Nataru) season, in a bid to stimulate domestic mobility and consumption.

Maudey Khalisha (The Jakarta Post)
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Wed, May 27, 2026 Published on May. 26, 2026 Published on 2026-05-26T17:34:04+07:00

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Coordinating Economy Minister Airlangga Hartarto (left) and Finance Minister Purbaya Yudhi Sadewa give a press statement regarding a rise in the jet fuel surcharge in Jakarta on April 6, 2026, Coordinating Economy Minister Airlangga Hartarto (left) and Finance Minister Purbaya Yudhi Sadewa give a press statement regarding a rise in the jet fuel surcharge in Jakarta on April 6, 2026, (AFP/Bay Ismoyo)

T

he government is preparing economic stimulus measures for the second half of this year, ranging from transportation discounts during the year-end holiday season to tax incentives for writers and expanded vocational programs.

Coordinating Economy Minister Airlangga Hartarto said the stimulus package would focus on boosting household spending, supporting labor absorption and strengthening purchasing power through targeted incentives.

“One of the decisions concerns tax facilities for writers. We’ve agreed to provide a final income tax rate of 1.5 percent for authors [from the current 6 percent],” Airlangga said on Tuesday, adding that the policy would apply to book writers with a registered International Standard Book Number (ISBN).

The government is also allocating funds for transportation discounts during the school vacation period and the Christmas and New Year (Nataru) season, in a bid to stimulate domestic mobility and consumption.

For the school vacations, the government has prepared Rp 190 billion (US$11.6 million) in incentives, targeting more than 3 million beneficiaries. Another Rp 161.4 billion has been earmarked for Nataru travel incentives, expected to benefit 2.87 million people.

Read also: Indonesia to revise state budget law but deficit ceiling not the focus, lawmaker says

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Airlangga added that economy-class airline passengers would continue to receive a 30 percent airfare discount through a government-borne value-added tax (PPN DTP) scheme. The facility, prepared for the Idul Fitri travel period, carries a budget allocation of Rp 472.7 billion and targets 2.3 million passengers.

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