Three New Economic Packages, Focus on MSMEs and Job Creation
JAKARTA – The government has officially launched three economic policy packages for 2025. The policy packages, named the 2025 Economic Package Program, are designed to maintain the momentum of national economic growth.
The announcement was made by Coordinating Minister for Economic Affairs Airlangga Hartarto together with Minister of Finance Purbaya Yudhi Sadewa in Jakarta, Monday (15/9). Airlangga explained that the decision to launch these policy packages was the result of a Cabinet Meeting led by President Prabowo Subianto.
In total, there are 27 programs summarized under the three main policy packages.
Acceleration of 2025 Programs
The first package focuses on accelerating strategic programs. Some of these include:
- Internship programs for university graduates within a maximum of one year after graduation.
- Expansion of Government-Borne (DTP)Income Tax Article 21 (ITA) incentives for workers in the tourism sector.
- Food assistance for the October–November 2025 period.
- Discounts on Work Accident Insurance (JKK) and Death Insurance (JKM) contributions for non-wage workers.
- Additional housing service programs under the Social Security Agency for Employment (BPJS Ketenagakerjaan).
- Cash-for-work programs under the Ministry of Transportation and the Ministry of Public Works.
- Acceleration of deregulation of Government Regulation No. 28 of 2025 on the integration of ministerial/institutional systems and the digitalization of spatial planning into the OSS system.
- Urban programs to improve settlement quality and provide space support for gig economy workers.
2026 Economic Package
The second package emphasizes tax incentives and the expansion of labor social security. The programs set to run in 2026 include:
Extension of Final Income Tax for MSMEs
The 0.5% Final Income Tax rate for MSME taxpayers with an annual revenue of up to IDR 4.8 billion is confirmed to continue until 2029. In 2025, the government allocated IDR 2 trillion for 542,000 registered MSME taxpayers.
Government-Borne Income Tax Article 21 for the Tourism Sector
A tax incentive for tourism workers earning up to IDR 10 million per month, with a budget allocation of around IDR 480 billion per year.
Government-Borne Income Tax Article 21 for Labor-Intensive Industries
Targeted at workers in the footwear, textiles, garments, furniture, and leather goods sectors. The program covers 1.7 million workers earning up to IDR 10 million per month. The budget allocated for 2025 reaches IDR 800 billion.
Discounts on JKK and JKM Contributions for Non-Wage Workers (BPU)
The program will be expanded to cover farmers, traders, fishermen, construction workers, and domestic workers. As of August 2025, around 10 million workers fall into this category, with an estimated budget of IDR 753 billion.
Job Creation
The third package focuses on generating new employment opportunities. Five main programs have been prepared:
- Merah Putih Village/Neighborhood Cooperatives
- Merah Putih Fishermen Villages (KNMP)
- Revitalization of North Coast Aquaculture Ponds
- Modernization of Fishing Vessels
- Community Plantations
These programs are targeted to absorb hundreds of thousands of new workers through cooperative development, aquaculture revitalization, and modernization of fisheries and community plantation facilities.
No Additional Deficit
Minister of Finance Purbaya Yudhi Sadewa emphasized that the implementation of these economic policy packages will not widen the 2025 State Budget (APBN) deficit. According to him, several programs will be carried out by maximizing the existing budgets within each ministry and government agency.
“These policy packages are aimed at strengthening people’s purchasing power, supporting MSMEs, and creating new jobs—without adding pressure to the State Budget,” said Purbaya. (ASP/KEN)
