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FINANCE Minister Sri Mulyani Indrawati has announced that the government is preparing a new economic stimulus package ahead of the Christmas 2025 and New Year 2026 holiday season.
“The holiday season stimulus is currently being formulated in coordination with the Coordinating Minister for Economic Affairs and other relevant ministers,” she informed here recently.
The government has disbursed economic stimulus packages twice this year. The first packages were rolled out in January and February and amounted to IDR33 trillion (approximately US$2 billion).
They included electricity bill discounts, government-paid Value-Added Tax (VAT) for housing purchases, job loss insurance (JKP), as well as extension of the 0.5% final income tax policy for micro, small, and medium enterprises (MSMEs).
The stimulus also included government-borne employee income tax (PPh 21), financing support, Workplace Accident Insurance (JKK) subsidies for labor-intensive industries, and incentives for electric vehicles.
The second stimulus packages were issued for incentive disbursement in June and July 2025, totaling IDR24.4 trillion (US$1.5 billion), with IDR23.6 trillion channeled from the state budget and IDR900 billion from non-state budget sources.
They featured transportation discounts, including 6% VAT relief on economy-class airline tickets, 30 percent discounts on train tickets, and 50% off sea transport fares. Additional measures included increased social assistance and 10 kilograms (kg) of rice for low-income families, wage subsidies of IDR600 thousand for 17 million workers and 565 teachers, toll road discounts, and extended JKK insurance premium reductions for certain labor-intensive industries.
As of June 2025, the realization of the second-quarter stimulus had reached IDR13.6 trillion (US$830 million). Indrawati said that final disbursements for July were still being evaluated. [antaranews]
