Jakarta (ANTARA) - The Indonesian government has been focused on efforts to link and match the education sector with the job market in an attempt to reduce the national unemployment rate, Finance Minister Sri Mulyani Indrawati stated.

The minister highlighted this approach in response to a report from Statistics Indonesia (BPS), which showed that as of February 2025, Indonesia has 7.28 million unemployed residents, with 1.01 million university graduates.

"The government remains committed to strengthening link-and-match programs that bridge the education and business sectors, improve job market information systems, and boost workforce capacity," she remarked in Jakarta on Tuesday.

Speaking during the 24th Plenary Meeting of the House of Representatives (DPR), Indrawati highlighted that although unemployment remains a significant challenge for the nation, fiscal policies have proven effective in reducing the open unemployment rate to 4.91 percent as of August last year.

That figure is 0.41 percentage points lower than the same period the previous year.

"This suggests that if the State Budget is used effectively, selectively, and prudently, we can keep Indonesia on track and protect people in the most vulnerable groups," the minister told DPR legislators.

BPS data shows that as of February 2025, Indonesia’s workforce reached 153.05 million, which represents an increase of 3.67 million compared to February last year. However, due to inadequate job absorption, the number of unemployed residents rose by 83,450 during that period.

Earlier, Manpower Minister Yassierli also highlighted the struggles faced by Indonesian university graduates in securing jobs.

"This trend presents a challenge for us. This is the reality we are facing," he remarked at the Parliamentary Complex in Jakarta on July 7.

In light of this, he stressed the need for collaboration between the Manpower Ministry and other institutions, especially the Ministry of Higher Education, Science, and Technology, to find the best solutions.

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