Jakarta (ANTARA) - The Indonesian government decided to continue the provision of the Economic Package Program in 2026 as part of its strategy to maintain the momentum of economic growth, maintain public purchasing power, and expand job creation.

Coordinating Ministry for Economic Affairs Spokesperson Haryo Limanseto on Tuesday stated that several key programs will be continued and expanded in 2026.

These programs include national internships, adjustments to the utilization period and beneficiaries of the 0.5 percent Final Income Tax (PPh) incentive for MSME taxpayers until 2029, an extension of the Government-Borne Article 21 Income Tax (DTP) for workers in the tourism and labor-intensive industries, and an extension of the DTP Value Added Tax (PPN) for the housing sector.

Followed by an extension and expansion of the Work Accident Insurance (JKK) and Death Insurance (JKM) contribution discount programs for all Non-Wage Earners (BPU) participants.

"The government is currently finalizing the economic package," Limanseto confirmed.

Previously, the government formulated the 2025 Economic Package and Labor Absorption, consisting of eight accelerated programs in 2025, four programs continuing into 2026, and five flagship programs for labor absorption.

According to Limanseto, the implementation of the Economic Package recorded significant achievements in 2025.

In job creation acceleration, the National Internship Program for university graduates has been implemented for 102,696 participants out of a total of 724,880 applicants in the first to third batches. This number exceeds the initial target of 100,000 participants.

"To protect workers' purchasing power, the government has implemented a Government-Borne Income Tax (PPh) Article 21 policy for workers in the tourism sector with salaries up to Rp10 million (US$576). This policy was stipulated in Minister of Finance Regulation (PMK) Number 72 of 2025 and has been officially implemented," he informed.

Furthermore, the government has distributed rice food assistance to 18.3 million Beneficiary Families (KPM) for the period from October to November 2025, with an allocation of 10 kg per KPM.

The distribution of rice has reached more than 348,000 tons, or 95.86 percent of the total allocation of 363,000 tons.

In addition, the government provided additional assistance by distributing 2 liters of cooking oil per KPM, with distribution reaching more than 69 million liters, or 95.86 percent of the total allocation of 72 million liters.

Furthermore, the government gave social security incentives for workers through discounts on Work Accident Insurance (JKK) and Death Insurance (JKM) contributions for non-wage workers (BPU), particularly in the transportation and logistics sectors, including online motorcycle taxi drivers, motorcycle taxi drivers, couriers, and other logistics workers.

This program has reached more than 731,000 participants, with a six-month discount period from October 2025 to March 2026. This policy is based on the issuance of Government Regulation Number 50 of 2025 concerning Adjustments to JKK and JKM Contributions for BPU participants.

Furthermore, to improve access to financing and social security services, the government is also implementing the BPJS Ketenagakerjaan (BPJS Employment) Housing Additional Service Benefit (MLT) Program with an interest rate relaxation scheme.

This program officially came into effect on October 1, 2025, based on Minister of Manpower Regulation Number 12 of 2025, to expand access to housing ownership for workers, particularly lower-middle-income formal workers.

Furthermore, the government has also implemented a Cash for Work Program (CWP) as an effort to maintain employment and public purchasing power.

In the deregulation and investment acceleration, the government is accelerating the implementation of the Deregulation Package (PP28) by launching the Complaint Resolution Task Force and Integrated Complaint Service through the Debottlenecking Reporting channel.

As of December 2025, the task force has followed up on 23 complaint desks as part of efforts to eliminate investment barriers and accelerate business realization.

As part of strengthening the urban economy, the government has also implemented the Urban Program through a pilot project in DKI Jakarta Province, launched on December 18, 2025.

Furthermore, the government aims to develop a digital economy platform to support the gig economy as a new source of job creation in urban areas.

The Gig Economy Program is designed to strengthen the digital ecosystem from upstream to downstream, from human resource development, Intellectual Property Rights protection, to the development of the semiconductor industry.

The government is targeting the program to run in 15 cities across Indonesia, with Jakarta designated as the program's prototype.

In addition to various Economic Package policies, the distribution of the Temporary Direct Cash Assistance for People's Welfare Program (BLTS Kesra), a supplement to the Regular Staple Food Card (BLT) to improve public welfare, has also reached more than 33 million beneficiaries, or 94.8 percent of the target of 35 million beneficiaries.

Meanwhile, distribution in the three provinces affected by natural disasters has reached 90 percent after using a modified distribution mechanism, with the details being Aceh (92.12 percent), North Sumatra (86.35 percent), and West Sumatra (90.21 percent).

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Translator: Bayu Saputra, Resinta Sulistiyandari
Editor: Azis Kurmala
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