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Gap fillers: Between TNI operational and budgetary constraints
While the government has shown great commitment to continuing its modernization efforts, it could be years before these platforms become fully operational.
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New wings: Indonesian Air Force officers walk on Jan. 24, 2024 past Lockheed Martin C-130J-30 Super Hercules at Halim Perdanakusuma Air Base in East Jakarta. The transport planes were among the new aircraft procured by Defense Minister Prabowo Subianto. (Antara/Galih Pradipta)
D
eputy Defense Minister Muhammad Herindra attended a hearing with the House of Representatives’ Commission I on Sept. 3 to discuss the 2025 budget for the ministry and the Indonesian Military (TNI).
Herindra said the ministry and TNI had obtained a Rp 165.16 trillion (US$10.7 billion) budget ceiling for their 2025 expenditure, up from the initial figure of Rp 155.98 trillion ($10 billion) proposed in June. The allotment consists of $3.7 billion for the Indonesian Army, $3.5 billion for the ministry, $1.6 billion for the Indonesian Navy, $1.2 billion for the Indonesian Air Force (TNI AU) and $723.2 million for the TNI headquarters.
In a follow-up meeting on Sept. 11, Commission I announced that it had agreed to the $10.7 budget ceiling and would supervise the spending and program implementation next year.
The budget increase from $8.8 billion in 2024 to $10.7 billion in 2025 marks an interesting start for Prabowo Subianto’s administration and will also shape how the government continues its defense modernization.
It is important to note that not all the allocated budget will be used for defense systems procurement, as large portions will also be allotted for personnel welfare and maintenance, repair and overhaul (MRO) programs. In fact, such arrangements have been a long-lasting issue affecting the TNI modernization strategy as budget constraints have resulted in the procurement of small quantities of equipment from different suppliers, among other reasons.
Since 2019, the government has signed numerous procurement contracts, including for major weapons systems, starting with the acquisition of five C-130J Super Hercules for the Air Force and two Mine Countermeasure Vessels (MCMVs) for the Navy.
The Air Force received its C-130J Super Hercules planes gradually from March 2023 until May 2024. Meanwhile, the Navy received the two MCMVs in August 2023, highlighting the need for serious planning as it could take years between a contract coming into force and its effective delivery.
