en.Malanginspirasi.com – Brawijaya University (UB) economist, Prof. Setyo Tri Wahyudi, S.E., M.Ec., Ph.D. mentioned that the State Budget (APBN) deficit at the beginning of 2026 is still at a reasonable level and should not cause excessive concern.
The deficit of Rp54.6 trillion in January 2026 is part of the dynamics of the government’s fiscal management at the beginning of the fiscal year.
Prof. Setyo mentioned that budget deficits are common in state financial management.
He explained that the government may run a deficit as long as it remains within the limits stipulated in state financial regulations, namely a maximum of three percent of Gross Domestic Product (GDP).
Further, he explained that the deficit figure in January 2026 is still relatively small as compared to the size of the national economy.
The percentage is even far below the maximum limit permitted by law.
“If we look at the figure of IDR 54.6 trillion, as a percentage of GDP, it’s actually still very small. This figure is still far from the maximum allowable deficit limit. So the country’s fiscal condition can still be considered safe,” he mentioned.
Additionally, Prof. Setyo explained that the phenomenon of a deficit at the beginning of the year is a fairly common pattern in APBN management.
The government usually begins implementing various state spending programs at the beginning of the year.
Meanwhile state revenues are not yet fully optimal, particularly from the tax sector.
This condition causes the budget balance to temporarily show a deficit.
However, as time passes and state revenues increase, this condition usually adjusts.
He added that a number of priority government programs also begin running from the beginning of the year and therefore require significant budget support.
Government designates these programs to have a direct impact on the community while also driving national economic growth.
Several priority programs that require budget allocations from the beginning of the year include programs to improve community welfare, support for the education sector, and various regional-based economic development programs.
Prof. Setyo later continued that the government should implement programs that directly address community needs from the beginning of the fiscal year.
This differs from some infrastructure development projects, which typically require lengthy administrative processes and preparation before budget realization.
“Programs directly related to the needs of the community certainly cannot be delayed too long. Therefore, it is natural for government spending to begin at the beginning of the year,” he explained.
Besides, Prof. Setyo also claimed on the importance of optimizing state revenues to maintain fiscal balance.
He believes the government needs to improve revenue performance to maintain fiscal space continuously, mostly the tax sector.
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He explained that the government has made various efforts to strengthen the tax administration system, including through the implementation of a more integrated digital system.
This system is expected to increase transparency and simplify the tax reporting process for taxpayers.
However, he acknowledged that the initial implementation of the new system often requires an adjustment process from both the government and taxpayers.
According to Prof. Setyo, Indonesia’s overall fiscal condition remains quite stable as long as the government is able to maintain a balance between state spending and state revenues.
He also emphasized the importance of ensuring that the expense of APBN is for productive programs and benefits the wider community.
“As long as the deficit remains within the limits stipulated by law and is used to finance programs that impact the community and stimulate economic growth. This is classified as a healthy condition in fiscal management,” he concluded.
