Indonesia increases 2020 defence budget to nearly USD10 billion

15 January 2020

The Indonesian government has approved an increase in the proposed defence budget for 2020, taking the allocation to IDR131.2 trillion (USD9.6 billion).

The new figure amounts to a year-on-year increase of 20% and a rise of IDR3.8 trillion over the originally proposed 2020 defence allocation of IDR127.4 trillion.

The approved defence budget was confirmed in a document recently published by the Ministry of Finance, outlining state expenditure for 2020. According to the document, the defence budget amounts to nearly 8% of government spending for the year.

Although not confirmed by the government, the increase to the proposed allocation is likely directed at supporting procurement objectives.

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