Gov't Responds to Student Protests: Austerity Measures Won't Affect Education

Yustinus Paat
February 18, 2025 | 3:04 pm
SHARE
Secretary of State Prasetyo Hadi, in responding to the student demonstration against the government's budget efficiency policy, which was themed
Secretary of State Prasetyo Hadi, in responding to the student demonstration against the government's budget efficiency policy, which was themed

Jakarta. State Secretary Prasetyo Hadi responded to student protests against the government’s austerity measures, assuring that the policy would not impact the education sector, including scholarships. Prasetyo said the policy aims to cut unproductive spending, such as ceremonial events and external consultants.

"Expressing opinions is normal, but we urge the students to be more observant. Last Friday, the Finance Minister and parliament assured that the budget efficiency measures will not affect education," he said in Jakarta on Tuesday.

President Prabowo Subianto issued Presidential Instruction No. 1 of 2025 on Budget Efficiency for the 2025 State and Regional Budgets (APBN and APBD), resulting in budget cuts across nearly all ministries.

A total of Rp 306.69 trillion ($18.9 billion) has been cut from the 2025 budget, with funds redirected to priority programs. These include Rp 100 trillion for free nutritious meals for children and expectant mothers, as well as initiatives for food and energy self-sufficiency and healthcare improvements.

ADVERTISEMENT

The cuts have impacted infrastructure spending and led to the furlough of thousands of government contract workers. The finance ministry also postponed its scholarship program for employees.

Prasetyo said education programs such as the Smart Indonesia Card, which provides between Rp 450,000 and Rp 1.8 million to 18.6 million eligible students, as well as scholarships and the Education Fund Management Agency, will continue to run.

He assured that the budget efficiency policy would not be revoked. The aim of the policy is to reduce unproductive spending, including on ceremonial events, seminars, and Focus Group Discussions (FGDs).

Regarding the "Dark Indonesia" slogan used in the protest, Prasetyo acknowledged it as part of freedom of expression but urged that the policy should not be misunderstood.

"Thee is no 'dark Indonesia.' We are heading toward a rising Indonesia. We, as a nation, must remain optimistic; we are in the same boat, on the same ship," he said.

Prasetyo also called for support for the newly elected government of Prabowo Subianto, who has been in office for 100 days, while it continues to seek solutions, even if they may not satisfy everyone.

"We are continuously looking for ways and solutions. It may not yet please all parties; some may still not accept it. It's normal," he added.

The student demonstration, which took place in Central Jakarta on Monday, was attended by thousands of students from Jakarta, Bandung, Lampung, Surabaya, Malang, Samarinda, Banjarmasin, Aceh, and Bali.

Among the demands raised during the protest were the restructuring of the cabinet, urging the president to issue a government regulation on asset confiscation for corruptors, evaluating the implementation of free nutritious meals, establishing free education, and enacting police reform.

Tags: Keywords:
SHARE

Related Articles


Business Jun 9, 2026 | 3:03 pm

Purbaya Signals Further Budget Tightening in 2027 Amid Rising Spending Commitments

For 2027, the government has set a budget deficit target of between 1.8% and 2.4% of gross domestic product.
News Jun 4, 2026 | 9:07 pm

Prabowo Fires Silmy Karim, Palace Dismisses Purbaya Exit Rumors

President Prabowo dismissed Silmy Karim after his graft arrest while the Palace denied rumors of Purbaya's exit.
News Apr 1, 2026 | 2:13 pm

Indonesia Mandates Location Tracking, Rapid Response for WFH Employees

Indonesia requires civil servants to enable location tracking and respond within minutes during weekly WFH under new rules.
Business Mar 31, 2026 | 8:28 pm

Indonesia Cuts Fuel Use, Travel, Introduces Weekly WFH to Save $14B

Indonesia unveils austerity plan including fuel limits, travel cuts, and weekly WFH to save Rp 243 trillion amid rising oil prices.
Business Mar 31, 2026 | 7:55 pm

Indonesia to Launch Biodiesel Mandate with 50% Blend from July 1

Within the first six months of implementation, the policy is expected to generate savings of up to Rp 48 trillion ($2.8 billion)
News Mar 30, 2026 | 12:49 pm

Free Nutritious Meal Program Trimmed, Except in High-Stunting Regions

Indonesia cuts free meal days to five weekly, but maintains six-day distribution in high-stunting and underdeveloped regions.
Business Mar 27, 2026 | 8:00 am

Can Indonesia Keep Its Deficit Below 3% as Oil Prices Climb?

Early-year data suggest a cautious approach: state spending reached Rp 493.8 trillion ($29.2 billion) as of Feb. 28.
News Mar 24, 2026 | 9:09 am

Indonesian Military, Defense Ministry Introduce WFH Scheme Amid Energy Concerns

Indonesia’s defense sector adopts weekly WFH policy to cut fuel use as government pushes efficiency amid global energy risks.
Business Jan 19, 2026 | 5:22 pm

Government Eyes New State Textile Company to Save Sritex Workers

Indonesia plans to form a state-owned textile firm to keep Sritex operations running and protect jobs after the company’s bankruptcy.
News Jan 7, 2026 | 4:22 pm

Indonesia – US Tariff Talks Stay on Track Despite Venezuela Tensions: State Secretary

Indonesia said Venezuela tensions won’t affect US tariff talks, with legal drafting set for Jan. 12–19 ahead of a planned signing.

The Latest


News 3 hours ago

Dear Mr. President, Don’t Skip ASEAN Summits

Despite calls for Prabowo to stay home, the Indonesian leader still needs to attend ASEAN summits.
Business 4 hours ago

PLN Rushes Coal Supplies After Power Outages Hit Java

PLN is rushing to secure coal supplies after shortages triggered rolling blackouts across Java, disrupting businesses and daily life.
Business 8 hours ago

Japan-Backed ADB Invests in Indonesia’s Human Capital

As many as 399 Indonesian awardees have joined the ADB-Japan Scholarship Program from 1988 to 2024.
Business 9 hours ago

Indonesian Stocks Rise Despite Foreign Outflows as MSCI Review Looms

Indonesia's JCI rose 2.8% as easing geopolitical tensions offset foreign outflows, MSCI concerns and rupiah pressures.
News 9 hours ago

World Cup 2026: Paraguay Holds Off Turkey With 10 Men to Keep Knockout Hopes Alive

Matias Galarza scored after 65 seconds as 10-man Paraguay beat Turkey 1-0, eliminating the Turks and securing first place for the US.
COPYRIGHT © 2026 JAKARTA GLOBE. ALL RIGHTS RESERVED