Budget Efficiency Is More Than Spending Cuts, Says Minister Suahasil - Tempo.co English
TEMPO.CO, Jakarta - Indonesia's new finance minister Suahasil Nazara discussed the government’s budget efficiency policy after being inaugurated by President Prabowo Subianto on Monday, September 14, 2026. Suahasil said efficiency is part of the management of State Budget (APBN).
He explained that the APBN consists of revenue, expenditure, and financing. “On the expenditure side, of course, we always look for ways to make spending more efficient while still producing the output that has been planned,” he said after his inauguration at the State Palace in Jakarta.
Suahasil said APBN efficiency must ensure that budgeted spending produces the maximum possible output. “This is a form of efficiency in the State Budget,” he said.
He stressed that efficiency does not simply mean cutting government spending. “Efficiency means using the available spending to produce maximum output that provides benefits to the public,” he said.
The government has pursued an extensive budget efficiency policy under President Prabowo. Since 2025, Prabowo has cut spending across various ministries and government agencies, as well as reduced transfers to regional governments.
The spending cuts have taken place alongside funding for major government projects and programs. Among Prabowo’s initiatives requiring substantial funding are the Free Nutritious Meals program and the Red and White Village Cooperatives.
Suahasil previously served as deputy finance minister, a position he held since October 25, 2019. He is now the third finance minister under President Prabowo, following Sri Mulyani Indrawati and Purbaya Yudhi Sadewa.
*]:pointer-events-auto R6Vx5W_threadScrollVars scroll-mb-[calc(var(--scroll-root-safe-area-inset-bottom,0px)+var(--thread-response-height))] scroll-mt-[calc(var(--header-height)+min(200px,max(70px,20svh)))]" dir="auto" data-turn-id="request-6a6c680a-51e4-83ec-b85a-76f2b465166c-94" data-turn-id-container="request-6a6c680a-51e4-83ec-b85a-76f2b465166c-94" data-testid="conversation-turn-192" data-turn="assistant">Read: How Much Wealth Did Suahasil Have Before Becoming Finance Minister?
