Jakarta (ANTARA) – Indonesia will not introduce new taxes—including excise duties on diapers and wet wipes—until the national economy achieves 6 percent growth, Finance Minister Purbaya Yudhi Sadewa stated, Friday.“My benchmark remains the same. Until the economy stabilizes, I won’t add new taxes,” Purbaya said at the Ministry of Finance office in Jakarta on Friday.The idea of taxing diapers and wet wipes emerged following the issuance of Finance Minister Regulation (PMK) No. 70/2025 on the Ministry’s Strategic Plan for 2025–2029.Under the goal of “Optimal State Revenue,” the regulation outlines efforts to expand the excise base, including studies on taxing diapers, single-use food and drink containers, and wet wipes, as well as proposals to raise the export duty ceiling for palm oil.Although these items are listed in the regulation signed on October 10, 2025, Purbaya clarified that implementation is not imminent.“We’re not applying it anytime soon,” he said, reiterating that new revenue sources will only be considered once the economy reaches 6 percent growth.He has consistently argued that introducing new taxes prematurely could reduce disposable income, especially after basic needs and obligations are met. Instead of raising tax rates, Purbaya prefers stimulating economic activity to boost revenue.
Indonesia to delay new taxes until economy hits 6 percent growth
