Finance Minister Purbaya Yudhi Sadewa Ensures Subsidized Fuel Prices Won’t Rise Until the End of the Year

Jakarta, KORANTRANSAKSI.com – Finance Minister (Menkeu) Purbaya Yudhi Sadewa has assured that the price of subsidized fuel (Bahan Bakar Minyak/BBM) will not increase until the end of this year, even as global oil prices continue to rise due to the escalation of conflict between the United States, Israel, and Iran.

He said he could neither predict nor provide guarantees regarding the price dynamics of non-subsidized fuel, as that commodity is not among those receiving price relief from the government.

“We are ready not to raise prices until the end of the year for subsidized fuel, with the assumption that oil is USD 100 per barrel until the end of the year—this has already been calculated as an average,” Purbaya Yudhi Sadewa said during a Working Meeting with Commission XI of the House of Representatives (DPR RI) in Jakarta on Monday (6/4/2026).

He further stated that his ministry has prepared mitigation measures and calculated the resilience of the State Budget (APBN) if global oil prices rise to either USD 80 per barrel or USD 100 per barrel. “So, subsidized fuel until the end of the year is safe. So people outside don’t need to worry, don’t need to be afraid—we’ve calculated (whether the subsidy budget is still sufficient),” he said.

In addition to the APBN budget, Purbaya said the government still has other funding sources to anticipate pressure from global oil prices—one of them being the Surplus Budget (Sisa Anggaran Lebih/SAL) amounting to IDR 420 trillion, including IDR 200 trillion placed in banking.

He added that the government also still has various revenue streams that can serve as a buffer/cushion for subsidy budget needs, such as Non-Tax State Revenue (PNBP) from the energy and mineral resources sector (ESDM).

“What matters is that the funds are available; our cushion is still there. Later, the Minister of ESDM (Bahlil Lahadalia) will also promise that income will be higher than the increase in oil prices and coal prices in the global market,” he said.

He also conveyed that the government is working to cut budgets in various expenditure items in ministries and agencies that are considered less efficient.

This is because every time global oil prices increase by USD 1 per barrel, the government needs to add IDR 6.8 trillion in subsidies. He said these efficiency efforts are also aimed at keeping the APBN spending deficit at 2.92%, without having to rely on the SAL.

“Later we will ask (ministries and agencies) so that expenditures are kept at a minimum—we control it and maintain the others too; we also boost revenues from several sectors, including commodities,” Purbaya said. (TIM/RED)