Indonesia’s president highlights economic growth and welfare reforms

JAKARTA: Indonesian President Prabowo Subianto highlighted the country’s resilient economy and ambitious welfare programmes during his first state address to parliament.

The former military leader, who took office in October, has focused on rapid state-driven growth to position Indonesia as a global economic force.

His administration faces scrutiny over costly initiatives like the free school meal programme, which aims to tackle childhood stunting but has raised fiscal concerns.

Prabowo pointed to Indonesia’s second-quarter growth of 5.12 percent, exceeding forecasts despite global economic tensions.

“Amid political conflict, global economic conflict, (and the US) trade war… Indonesia still managed to grow above five percent,“ he told lawmakers.

The president also noted a decline in unemployment to its lowest level since the Asian financial crisis.

His free lunch scheme, targeting 20 million schoolchildren and pregnant mothers, has drawn criticism over funding cuts and implementation issues.

“Our goal… is to be free from poverty, free from hunger, free from suffering,“ Prabowo said, defending the programme.

Protests erupted earlier this year over budget reallocations to finance welfare projects and a new sovereign wealth fund.

Prabowo succeeded Joko Widodo last year after a campaign promising policy continuity and economic transformation.

The president is set to present the 2026 budget ahead of Indonesia’s independence day celebrations – AFP

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