Minister invites businesses to expand amid uncertainty

Jakarta (ANTARA) - Coordinating Minister for Economic Affairs Airlangga Hartarto has called on businesses and investors to take advantage of the current global economic uncertainty by expanding their operations.

He said the ongoing global economic volatility has made capital goods more competitively priced, thereby creating an opportunity for companies to increase investment.

"In situations like this, capital goods usually become highly competitive or relatively affordable. Opportunities like this do not come twice. Therefore, for companies planning to expand, this is the right time," he said in a statement cited here on Monday.

He noted that Indonesia's strong economic fundamentals continue to provide a solid foundation for business expansion despite global uncertainty. Key macroeconomic indicators remain positive, sustaining optimism over the country's growth prospects.

Indonesia's economy grew by 5.61 percent year-on-year in the first quarter of 2026, outperforming projections by several international institutions and remaining above the average growth rate of ASEAN countries.

"We have kept inflation under control, with May inflation at around 3 percent. Domestic demand also remains strong, with the consumer confidence index staying above 100, even reaching 120," he said.

To sustain growth momentum in the second half of 2026, the government has prepared an economic stimulus package worth Rp26.34 trillion or around US$1.48 billion.

The package includes rice assistance for 33.24 million beneficiary families for three months, as well as subsidized soybeans under the Food Supply and Price Stabilization (SPHP) program for tofu and tempeh producers.

It also covers discounts on economy-class air, rail, and sea transportation, and various incentives to boost household spending during the school holiday and Christmas-New Year holiday periods.

Beyond consumption stimulus, the government will launch a national internship program for fresh graduates in July 2026, offering six-month placements in the industrial, services, and digital economy sectors with government support.

To support long-term economic transformation, the government is also preparing to establish a financial center in Bali.

At the same time, it continues to advance the green economy through clean energy projects supported by the Just Energy Transition Partnership (JETP), including geothermal power development and waste-to-energy projects.

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Translator: Bayu, Kenzu

Editor: Bayu Prasetyo

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