Indonesia targets 6% growth in 2027, investment key

The government is targeting Indonesia's economic growth to reach 6 percent in 2027 amid global uncertainty, led by household consumption, investment and productive spending. The Ministry of Finance said fiscal policy will be used to support purchasing power and price stability, while accelerating spending on manufacturing, trade and agriculture. In the 2027 draft state budget, state revenue is targeted at Rp3.435,1 trillion and state spending at Rp4.106,3 trillion, putting the planned deficit at 2.4 percent of GDP. Several economists said the 6 percent target remains achievable, but would require stronger private investment. Airlangga Hartarto also said 7.5 percent growth could be reached if investment rises to 30 percent of GDP and ICOR falls to 4 percent from the current 6.1.