Indonesia targets 18% government revenue-to-GDP ratio within three years

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  Hashim Djojohadikusumo says Indonesia could raise an additional Rp1,500 trillion in annual government revenue.

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  He is targeting an increase in the revenue-to-GDP ratio from about 12% to 18% within two to three years.

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  Hashim says a six-percentage-point gap with Cambodia represents about US$90 billion a year, based on Indonesia’s nominal GDP of US$1.4 trillion to US$1.5 trillion.

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  He attributes the low ratio to a lack of political will and calls for tax reform and better revenue administration.

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  Hashim also points to digitalisation as a way to improve revenue collection and record economic activity.

Who

Hashim Djojohadikusumo, Board of Advisors at Prasasti.

What

He is targeting an increase in Indonesia’s government revenue-to-GDP ratio to 18% and says the country could collect an additional Rp1,500 trillion a year.

When

He set out the target at the Prasasti Indonesia Policy Forum 2026 on 13 October 2026. The target is for two to three years.

Where

Jakarta, Indonesia.

Why

Hashim says the ratio is low because of a lack of political will and points to tax reform, better administration and digitalisation as ways to raise revenue.

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