The plan to increase civil servants’ salaries in 2025 is still under discussion with the Ministry of Finance, according to the Minister of Administrative and Bureaucratic Reform.
As of now, no official decision has been made regarding when the increase will take effect or its exact amount.
“We do need to discuss this first with the Ministry of Finance. It is mentioned in the Financial Note and remains a commitment for further discussion,” the Minister stated during a meeting at the Parliamentary Complex in Central Jakarta on Wednesday, July 9, 2025.
When asked whether the salary increase policy would be implemented this year, the Minister emphasized that discussions with the Finance Minister are still ongoing.
The Minister also addressed circulating rumors about a 16% salary hike for civil servants, clarifying that such a figure was never discussed in any official forum and does not originate from their statements.
“There has been no discussion about a 16% salary increase,” the Minister said on Tuesday, April 22, 2025.
However, the possibility of raising civil servants’ salaries remains open. The Minister noted that the plan is reflected in the 2025 Macroeconomic Policy and Fiscal Policy Principles document (KEM-PPKF). Still, the document does not specify an exact percentage for the increase.
“The percentage (of the salary increase) is not explicitly stated in the KEM-PPKF,” the Minister added.
Meanwhile, the Head of the Communication and Information Bureau at the Ministry of Finance also confirmed that rumors of a 16% salary hike are false.
“Yes (the 16% salary increase is a hoax). As of now, there is no such policy,” the official stated.
It is worth noting that the last civil servant salary increase was implemented in early 2024. At that time, the President approved an 8% raise, formalized in Presidential Regulation No. 10 of 2024. This policy was part of the fiscal direction updates in the 2025 KEM-PPKF document.
