Finance Minister Purbaya Yudhi Sadewa has devised a special formula to ensure that development financing through the state budget (APBN) no longer relies heavily on debt.

He explained that by simply creating an environment where the economy can grow faster, state revenues will automatically increase and serve as the main resource for covering government spending.

“Looking ahead, we should not be forced to add more debt, because I will push for faster economic growth. With the same budget framework, we can achieve higher growth and generate greater tax revenues,” Purbaya emphasized at the House of Representatives (DPR) in Jakarta on Wednesday (Sept 24, 2025).

For that reason, he assured that the government will no longer delay state expenditures for too long, so that economic activity can be stimulated more effectively.

Since the start of his term in September 2025, Purbaya immediately introduced a policy to transfer Rp200 trillion in idle government funds from Bank Indonesia to commercial banks, aiming to accelerate the circulation of base money (M0) within the economy.

“I believe that by managing government funds properly—ensuring they don’t disrupt the economy—this alone can provide a significant boost to growth and, in turn, increase tax revenues,” he explained.

He is also confident that in the future, state revenues will become the government’s primary source of financing, reducing reliance on borrowing. Based on his calculations, every additional 1% of economic growth could contribute around Rp220 trillion in tax revenues.

“If my calculations are correct, every 1% growth will generate about Rp220 trillion or more in extra income. With a 0.5% increase, the additional revenue would be around Rp110 trillion. That is exactly what we aim for going forward,” he concluded.