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Indonesian govt sets US$3.2 billion Eid bonus for state staff

Jakarta (ANTARA) – Indonesia has allocated Rp55 trillion (US$3.2 billion) for Eid al-Fitr bonuses for state workers, a 10 percent increase from last year, as the government moves to bolster household spending during the holiday period.Coordinating Economic Affairs Minister Airlangga Hartarto said Tuesday the allocation rose from Rp49 trillion (US$2.9 billion) a year earlier. Disbursements began Feb. 26 and will be completed no later than one week before Eid.The payments cover civil servants, contract-based government employees, members of the armed forces and police, and pensioners, according to Hartarto, speaking at a press conference in Jakarta.About Rp22.2 trillion is earmarked for 2.4 million central government employees, including military and police personnel. Funds are being transferred in stages through relevant ministries and agencies.Regional administrations will distribute Rp20.2 trillion to 4.3 million local civil servants. Separately, 3.8 million pensioners are set to receive Rp12.7 trillion in holiday allowances.Hartarto said the 2026 holiday bonus comprises base salary plus family, food, positional and performance allowances, in line with prevailing regulations governing state compensation.He stressed the Eid payments are separate from the so-called 13th-month salary, typically disbursed in June, underscoring the government’s dual support measures for public servants.For the private sector, the minister said companies must pay holiday allowances in full no later than one week before Eid, prohibiting installment payments.He estimated total private-sector holiday bonuses at Rp124 trillion (US$7.3 billion), citing 26.5 million workers registered with state insurer BPJS Ketenagakerjaan.In addition, the government ordered ride-hailing firms to distribute Rp220 billion (US$13 million) in Eid bonuses to about 850,000 drivers nationwide.Hartarto said mandatory holiday payments for private employees and app-based drivers are intended to safeguard purchasing power and sustain domestic consumption during one of Indonesia’s peak spending seasons.