Indonesia's Six Economic Stimulus Policies Beginning in June

At a coordination meeting chaired by the Coordinating Minister for the Economy, the government announced that it would launch its economic stimulus policy in the second quarter of 2025.This is because major festivals such as Christmas and New Year have passed and the pull on consumption has weakened, while the school holidays and the 13th month payroll are important opportunities to stimulate consumption, which is hoped to maintain the economic growth rate in the second quarter at around 5%.6 Policies include Transportation Discounts: 30% discounts on train tickets during the school holiday period from early June to mid-July, 2025; airfare reduction of 6% of PPN DTP; 50% discount on ferry tickets. Discounts on road tolls: about 110 million motorists will enjoy a discount of 20% on road tolls during the 2 months of school vacations, implemented in the same pattern as the discounts during Eid-ul-Fitr and Christmas. Electricity Discount: about 79.3 million households (electricity consumption ≤ 1300 VA) are entitled to a 50% discount on electricity tariffs from June 5-July 31, 2025, with the same implementation pattern as the January-February 2025 tariff discount scheme. Enhanced social assistance and food assistance: additional card subsidy of 200,000 rupiah per month for 2 consecutive months for necessities for about 18.3 million poor households; 10 kilograms of rice per household. Wage subsidy assistance: about 17 million workers earning up to 3.5 million dong per month or the local minimum wage, and 3.4 million substitute teachers will receive a subsidy of 150,000 dong per month in June-July 2025, with a one-time payment in June. Extending the discount on occupational accident insurance contributions: from August 2025-January 2026, workers in labor-intensive industries will continue to receive a 50% discount on their contributions.