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Gov’t optimistic Eid homecoming to boost national economic activities

Jakarta (ANTARA) – The government has projected that public activities during the 2026 Eid al-Fitr homecoming period could serve as an instrument to boost national economic circulation.“Every spending by travelers creates a multiplier effect for economic actors, including micro, small, and medium enterprises (MSMEs), traders, and the transportation services sector,” Coordinating Ministry for Economic Affairs spokesperson Haryo Limanseto said in a statement here on Monday.He explained that Eid homecoming has proven to be a consistent and measurable instrument for strengthening the economy.A 2023 study by Statistics Indonesia (BPS) also showed that homecoming activities contributed around 1.5 percent to annual (yoy) national economic growth.This contribution occurs through the circulation of money from centers of economic activity to various regions, thereby broadening economic impact and increasing more equitable money circulation.“With such significant potential, policy synergy and strengthening MSMEs are key to optimizing the Eid homecoming momentum to drive inclusive and sustainable economic growth,” Limanseto said.Based on data, household consumption during Eid increases by 15-20 percent compared to normal months, in line with high public mobility.The high Marginal Propensity to Consume (MPC) among Indonesians during this period also reinforces consumption growth, including an increase in the income of regional MSMEs by up to 50-70 percent.Meanwhile, projections of economic activity in this year's Eid momentum show an optimistic trend and are expected to increase compared to the previous year.Last year, the Eid momentum recorded public mobility reaching 154.62 million people. Public movement and spending in 2026 are expected to increase to support the annual economic growth target of 5.5-5.6 percent (yoy).This optimism is supported by various stimulus policies, including fiscal stimulus allocation of more than Rp12.8 trillion, the distribution of social assistance amounting to Rp11.92 trillion to 5.04 million households, and transportation fare discounts worth Rp911.16 billion.