Indonesia's Prabowo to allow debt-to-GDP ratio to reach 50%, FT reports

Indonesia's Minister of Defence and president-elect Prabowo Subianto (C) arrives at a ceremony commemorating the Indonesian Police Day in Jakarta on July 1, 2024. Indonesian president-elect Prabowo Subianto has undergone leg surgery but is continuing to work as he recovers, a spokesman said on July 2. (Photo by BAY ISMOYO / AFP)

JAKARTA (Reuters): Indonesian President-elect Prabowo Subianto will allow the nation's debt-to-GDP ratio to rise to 50%, provided his administration can boost tax revenue, the Financial Times reported citing one of his closest advisers.

Prabowo's brother and adviser Hashim Djojohadikusumo told the Financial Times in a London interview that Indonesia could retain its investment-grade credit rating even if the debt-to-gross domestic product (GDP) ratio rises to 50%.