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Indonesia to keep subsidized fuel prices unchanged

Jakarta (ANTARA) – The Indonesian government has reassured the public that subsidized fuel prices will remain unchanged despite global oil prices hovering above $100 per barrel.Finance Minister Purbaya Yudhi Sadewa said the government would absorb the impact of rising energy prices through the state budget to avoid burdening consumers.“We are absorbing the pressure into the state budget. If we let it pass through, people could panic as seen in other countries,” he told reporters at the Presidential Palace complex in Jakarta on Thursday.He said Indonesia’s energy subsidy mechanism is structured within an annual budget framework, allowing the government to anticipate the impact of global oil price fluctuations.The government has also prepared measures to maintain fiscal stability, including spending efficiency and efforts to increase state revenue, he added.“Even at current price levels, we have projected the impact on the state budget. We will take steps, whether through efficiency measures or revenue increases, to ensure the budget remains secure, and so far it remains under control,” he said.Purbaya emphasized that the state budget plays a crucial role as a shock absorber to ensure economic activity continues without a sharp rise in costs.Earlier, Energy and Mineral Resources Minister Bahlil Lahadalia said the government would continue to safeguard fuel subsidies to protect consumers from rising prices amid volatile global oil markets.He added on Tuesday that national energy supplies, including liquefied petroleum gas, gasoline and diesel, are being closely monitored to prevent shortages.