Fiscal resilience key to maintaining economic growth: Deputy Minister

Jakarta (ANTARA) - Deputy Finance Minister Juda Agung said the government continues to strengthen fiscal resilience and the financial sector to maintain the momentum of economic growth amid global challenges.

Speaking at the Central Banking Service Festival (CB Fest) 2026, as quoted in a written statement here on Monday, Agung said strengthening resilience is increasingly important amid rising geopolitical risks, technological disruption, financial fragmentation, and increasingly complex global supply chains.

He said fiscal policy needs to continue functioning as a “shock absorber” while also sustaining economic growth.

The State Budget (APBN), he said, must be able to protect the public, support productive activities, and respond to various risks while maintaining fiscal discipline, credibility, and sustainability.

“Fiscal strategy must remain adaptive, prudent, and growth-oriented, protecting the economy today while safeguarding fiscal sustainability in the future,” he explained.

Besides fiscal policy, the resilience of the financial sector is also an important foundation for economic growth, he stressed.

The financial system needs to remain stable and efficient while becoming increasingly deep and inclusive, enabling it to provide diverse sources of financing and channel capital toward productive activities.

According to Agung, the role of banking can also be expanded beyond simply channeling credit to become part of efforts to increase productivity, support micro, small, and medium enterprises (MSMEs), foster innovation, create jobs, and boost competitiveness.

Digital transformation and AI also need to be accompanied by strong governance and risk management, he said, noting that efficiency does not automatically translate into resilience.

The government will also strengthen coordination among fiscal, monetary, and macroprudential policies, as well as financial sector regulation.

The Financial System Stability Committee (KSSK) serves as one of the frameworks for maintaining stability while coordinating responses to various risks, he said.

“Resilience does not mean the absence of shocks. Resilience is our ability to absorb shocks, adapt to change, and continue moving forward without losing credibility and public trust,” he added.

Related news: Indonesia deploys three fiscal strategies to bolster state budget

Related news: State Budget deficit managed within 3 percent cap: Finance Minister

Translator: Imamatul, Kenzu
Editor: Primayanti
Copyright © ANTARA 2026