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A Growing Threat of Policy Inconsistency

Monday, February 16, 2026

Policy inconsistency, not fiscal math, is now Indonesia’s biggest investment risk. When rules shift without warning, capital quietly walks away.

arsip tempo : 177598769860.

Ilustration: Tempo/Lukmannul Hakim. tempo : 177598769860.

Indonesia’s most pressing economic burden today is not merely rising government debt or a widening fiscal deficit. For investors—both in the real economy and in financial markets—the more serious threat lies elsewhere: the growing inconsistency of government policy. This, in essence, was the principal reason Moody’s Investors Service downgraded Indonesia’s credit outlook from stable to negative two weeks ago.

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