B50 Mandate Expected to Save IDR 170 Trillion in Foreign Exchange  

Jakarta: President Prabowo Subianto expects the B50 Biodiesel Mandate to spark significant economic growth and drive substantial foreign exchange savings for Indonesia.
 
The mandate aims to strengthen the country’s energy security while reducing reliance on fuel imports by expanding the use of domestic natural resources.
 
The program is projected to increase the added value of Indonesia’s crude palm oil (CPO) industry from IDR 20.92 trillion to IDR 23.49 trillion, create 2.1 million jobs, and cut greenhouse gas emissions by 44.46 million tons of CO2 in 2026.
 
“We also estimate annual foreign exchange savings of IDR 170 trillion, or about USD 10 billion,” Prabowo said, as quoted by Antara on Thursday, July 9, 2026. The previous B40 mandate had generated IDR 133.3 trillion in foreign exchange savings.
 
Energy and Mineral Resources Minister (ESDM) Bahlil Lahadalia explained that the savings derive from reduced diesel fuel import costs.
 
The President added that the government would continue to pursue cost saving measures, including a crackdown on commodity smuggling, particularly tin.


“(By cracking down on) tin smuggling, we could save between USD 2 to USD 3 billion,” Prabowo remarked.
 
(Jonathan Sianto)