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Indonesia earmarks Rp820.9 trillion for education in 2027 budget

Jakarta (ANTARA) – The Indonesian government has decided to allocate Rp820.9 trillion (over $46 billion) to the education sector, as outlined in the 2027 Draft State Budget (RAPBN).

Finance Minister Purbaya Yudhi Sadewa noted the figure represents a 13.9 percent increase from the Rp720.8 trillion projected in the 2026 State Budget outlook.

“As mandated by the 1945 Constitution, the state prioritizes a minimum of 20 percent of the APBN for national education,” he remarked during a press conference on the 2027 Draft APBN and Financial Note in Jakarta on Friday.

He said the allocation comprises Rp490.7 trillion in central government spending, Rp277.1 trillion in transfers to regional governments, and Rp53 trillion in financing.

The education budget will support the Free Nutritious Meals program for 60.6 million beneficiaries, the development of seven campuses under the Garuda Top School program, and the construction and operation of more than 150 schools under the tuition-free Sekolah Rakyat (People’s School) program.

Funds earmarked for infrastructure will also cover the renovation of 12,215 schools across Indonesia.

Purbaya noted that the allocation would fund various education assistance schemes, including the Smart Indonesia Program (PIP) for 22.1 million students, the Smart Indonesia Card (KIP) program for 1.1 million college students, and school operational assistance benefiting 60.5 million students.

It will cover professional allowances for 1.3 million non-civil servant teachers and 1.7 million educators employed as civil servants at regional governments, 20,700 of whom will also receive additional income benefits.

The minister further announced operational assistance for 148 museums and cultural parks, alongside funding for scholarships administered by the Finance Ministry’s Endowment Fund for Education Agency (LPDP).

Separately on Friday, President Prabowo Subianto noted that the 2027 Draft APBN projects a budget deficit of 2.40 percent of GDP, down from 2.68 percent recorded in the 2026 APBN.

He said state revenue is projected to reach Rp3,426 trillion in 2027, up from Rp3,153 trillion in the 2026 APBN.

Prabowo presented budget assumptions during his speech on the 2027 Draft State Budget and Financial Note at the first plenary session of the House of Representatives of the 2026-2027 sitting period at the Parliament Complex.

Related news: Prabowo targets renovation of all Indonesian schools by 2029

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Translator: I. Silfia, Tegar Nurfitra
Editor: Arie Novarina
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