Jakarta (VNA) – Amid rising global oil prices placing pressure on the state budget, the Indonesian government is expediting procedures to introduce an export tax on coal from April 1.
The planned levy comes as Indonesia faces mounting fiscal pressure from higher global oil prices, which are driving up energy subsidy costs and raising the risk of a wider budget deficit. The government is seeking additional revenue sources to maintain fiscal balance, the local daily online English-language newspaper Jakarta Globe reported.
Coal prices hovering at around 135 USD per tonne have created what policymakers see as an opportunity to capture windfall profits from the sector.
President Prabowo Subianto has reportedly given initial approval for the proposal, although the government has yet to disclose the tariff rate.
From a fiscal standpoint, the additional revenue is expected to help contain the budget deficit, which reached 135.7 trillion IDR (8 billion USD), or 0.53% of GDP, as of end-February 2026. While higher than last year, the government maintains that this reflects a deliberate fiscal strategy driven by accelerated state spending early in the year.
Beyond coal, Indonesia is also studying the possibility of extending similar export levies to other commodities such as nickel, as part of a broader effort to expand state revenue from natural resources./.
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