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Eroding Fiscal Discipline Under Presidential Discretion

Monday, August 25, 2025

The government allocated large budgets through presidential discretion. Parliament’s budgetary rights were ignored, and fiscal discipline dissolved.

arsip tempo : 177091377529.

Illustration. TEMPO/Alvin Siregar. tempo : 177091377529.

INVESTORS would do well to scrutinize the debate now unfolding in Jakarta over Indonesia’s draft 2026 State Budget. This is the first spending plan crafted entirely under President Prabowo Subianto, free of the transitional influence of his predecessor’s administration. It therefore provides the clearest picture of how Prabowo intends to run the economy.

The early signals are really troubling. The draft budget suggests that disc

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Yopie Hidayat

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