Indonesia has ascended to the top of the Global Tax Expenditures Transparency Index (GTETI) for 2026, overtaking South Korea to claim the leading position. This prestigious index evaluates nations based on the frequency, quality, and comprehensiveness of their tax expenditure reports. Following Indonesia in the rankings are South Korea and Australia. In this year’s assessment, Indonesia, the largest economy in Southeast Asia, achieved an impressive score of 79.9 out of 100.
The spokesperson for Indonesia’s Finance Ministry, Deni Surjantoro, emphasized the significance of the tax expenditure report in promoting transparency and effective monitoring of tax expenditures and incentives. According to Surjantoro, these tax incentives signify the government’s commitment to supporting the broader public, including micro, small, and medium enterprises (MSMEs).
In 2025, households and MSMEs were the beneficiaries of more than 70% of the country’s total tax expenditures, amounting to Rp 389 trillion, equivalent to $22 billion. This financial support has been directed towards essential areas such as food, housing, education, healthcare, and transportation, with the dual aim of fostering job creation and enhancing the quality of life for citizens.
Deni Surjantoro reiterated the government’s dedication to maintaining and improving the transparency of tax expenditures, underscoring its importance in ensuring sound and accountable fiscal governance. By enhancing transparency, Indonesia aims to reinforce trust and efficacy in its fiscal policies, ultimately contributing to sustainable economic growth and development.