Indonesia’s Prabowo fires finance minister, elevates deputy

Indonesia’s President Prabowo Subianto fired his finance minister and installed the deputy to the post today, according to Nikkei Asia. The shake-up puts stewardship of Southeast Asia’s largest economy and the 2025 state budget in new hands just as Prabowo maps early policy moves. The finance chief oversees inflation control, subsidy spending, and sovereign borrowing that underpin growth and investor confidence.

Nikkei Asia reports the deputy was elevated immediately following the dismissal, and no official rationale was given. Markets will watch the rupiah, bonds, and equities as the transition tests fiscal targets, including Indonesia’s statutory 3% of GDP deficit ceiling and funding for flagship programs from food aid to the new capital project. Traders are also bracing for guidance on bond issuance and any shifts to tax policy or energy subsidies. [Developing. This article will be updated.]