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  3. Government Prepares Economic Programs to Strengthen Public Protection in 2027

Government Prepares Economic Programs to Strengthen Public Protection in 2027

Profile photo of Fatimah
Writer: Fatimah
October 1, 2026, 11:11 WITA Editor: Rina Maharani
5 min read
Economic Programs
Government economic policy planning

JAKARTA, JurnalPost.com – The government is preparing a series of economic programs to maintain public purchasing power, expand employment opportunities, and support the sustainability of economic activities toward the end of 2026 and entering 2027.

These programs include social assistance, wage subsidies, workforce competency development, tax incentives, housing sector support, and worker protection.

IKLAN

Coordinating Minister for Economic Affairs Airlangga Hartarto stated that the government has discussed various programs to be implemented in the fourth quarter of 2026, as well as policies to be continued in 2027.

“We discussed the programs for the fourth quarter. The President also provided directives regarding programs to be launched in 2027. These are programs that have been implemented this year and will be continued in 2027,” Airlangga said in a press statement following a meeting at the State Palace on Wednesday (30/9/2026).

Food Assistance and Wage Subsidies

For the fourth quarter of 2026, the government is preparing a program to open accounts for citizens over the age of 17, targeting households in decile 1 through decile 4.

The number of beneficiaries for this program is currently undergoing a data cross-check with relevant ministries to ensure the aid is accurately targeted.

The government is also preparing food assistance in the form of 10 kilograms of rice per month. The aid will be distributed for the period of October through December 2026.

This program is intended for 33,244,408 Beneficiary Families (KPM) from decile 1 to decile 4, with an estimated budget requirement of Rp17.5 trillion.

In addition to food assistance, the government plans to resume the Wage Subsidy Assistance (BSU) program.

The BSU will be provided for a three-month period at a value of Rp300 thousand per month, paid in a single installment. The program targets approximately 13.3 million workers, with an estimated budget requirement of nearly Rp12 trillion.

Internship and Vocational Programs to Continue in 2027

Entering 2027, several programs that have been running this year will be continued.

The internship program through the Ministry of Manpower is targeted to reach 150 thousand participants, while the vocational program is prepared for approximately 300 thousand people.

The government will also continue the policy of reducing Article 21 Income Tax (PPh 21) for workers earning below Rp10 million per month.

The program is expected to reach approximately 7.5 million workers.

“Currently, this is provided to labor-intensive sectors and tourism. Next year, it will be extended to all sectors with salaries below 10 million,” Airlangga explained.

Furthermore, the government is discussing the possibility of adjusting Non-Taxable Income (PTKP) by taking inflation trends into account.

The scale of the PTKP adjustment is still being discussed with the Minister of Finance before being finalized.

IKLAN

Housing Incentives to Continue

Support for the housing sector remains a government priority in 2027.

The Government-Borne Value Added Tax (PPN DTP) facility for home purchases will be extended.

This facility is provided for home purchases priced up to Rp2 billion.

Meanwhile, for homes priced up to Rp5 billion, the PPN DTP facility is applied to the portion of the price up to Rp2 billion.

The government is also preparing an additional subsidized Mortgage (KPR) program for individuals with fixed incomes of around Rp17 million.

The program offers a mortgage facility with an interest rate of 6 percent for home purchases valued up to Rp500 million.

Previously, a similar scheme was prepared for MSME players with irregular incomes. Moving forward, the program will be expanded to include individuals with fixed incomes.

Strengthening Worker Protection

In the labor sector, the government will continue protection policies for non-wage-earning workers through the Work Accident Insurance (JKK) and Death Insurance (JKM)programs.

The discount scheme currently in effect is also planned to continue in 2027.

Additionally, the utilization of Job Loss Insurance (JKP) for a six-month period will be adjusted based on the worker's income level.

This measure is expected to strengthen protection for workers facing the risk of job loss while helping to maintain public purchasing power.

Government Prepares Adjustments for Jewelry Industry

The government is also preparing policies for the jewelry industry sector.

New standards will be drafted so that industry players can utilize VAT facilities for precious metals with a purity of 99.9 percent.

Currently, the facility's provisions still use a purity level of 99.99 percent, so the government deems a regulatory adjustment necessary.

Airlangga stated that the budget requirements for the various programs to be continued in 2027 are still being reviewed by the Ministry of Finance.

Based on preliminary calculations, the overall program requires a budget of approximately Rp31 trillion.

These various policies are being prepared as part of the government's efforts to maintain economic growth momentum, strengthen purchasing power, and expand the benefits of development for the community.

Bahasa Indonesia Read in Bahasa Indonesia →
  • #Government
  • #Economic Growth
  • #Economic Program
  • #Social Assistance
  • #Wage Subsidy
  • #Tax Incentive
  • #Worker Protection
  • #Purchasing Power

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Article source: https://jurnalpost.kolomopini.com/en/government-prepares-economic-programs-to-strengthen-public-protection-in-2027/97922/

Printed from JurnalPost.com on November 3, 2026, 20:11 WITA

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