Antara News·Indonesia·Wednesday, September 23, 2026 at 10:18 PM

Indonesia to fund free public schools from existing 2027 budget

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Maria Galuh/Genta Tenri, Uyu Liman

Jakarta (ANTARA) - The Indonesian government will not create a supplementary budget to fund its upcoming free public school program but will instead draw directly from the mandated education allocation in the 2027 Draft State Budget (RAPBN).

Finance Minister Suahasil Nazara stated that the 2027 draft budget allocates roughly Rp820.9 trillion (approximately US$45.97 billion) for education, meeting the country's constitutional requirement to dedicate 20 percent of state spending to the sector.

"The state budget always allocates 20 percent for education. Therefore, the question is how to properly design the utilization of this budget, which exceeds Rp800 trillion," Nazara told reporters at the Presidential Palace complex here on Wednesday.

He noted that the government is currently reviewing how education funds are distributed and utilized across the central government, regional administrations, and various state agencies.

With the total education budget projected between Rp820 trillion and Rp824 trillion (US$45.92 billion and US$46.14 billion), the minister explained that the allocation will be structurally redesigned to enhance the overall quality of the national education system.

Because the funds for the free public school program will be sourced from the existing baseline, no entirely new budget line will be required.

"We are discussing the 2027 budget; with this specific amount available, the focus is on how to design it optimally," he added.

Speaking on the same occasion, Higher Education, Science, and Technology Minister Brian Yuliarto said his ministry is still calculating the exact funding required to extend the free education program to state universities.

"We are currently running the numbers, which is why we held a meeting today to discuss the schemes, stages, and other details," Yuliarto said.

President Prabowo Subianto previously instructed his cabinet to formulate comprehensive plans and assess the financial requirements for providing free education from kindergarten through state universities.

The directive is part of the president’s commitment to expand access to equitable and quality education for all Indonesian children.

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