Government subsidies had ballooned from 4.8 percent of total government spending in 2009 to 14.3 percent in 2012. If fuel subsidies were not reduced, the budget deficit would most likely have exceeded the 3 percent threshold. The current new context - after the fuel price hike - will see a budget deficit of about 2.4 percent of GDP. However, there is no indication yet that Moody's will upgrade Indonesia's sovereign rating soon. Moody's gave Indonesia the Baa3 rating (stable outlook) in 2012. This rating is the bottom rank within the investment grade status classification.

State-owned oil and gas company Pertamina is also a beneficiary of the subsidized fuel price hike as the company has been distributing fuel below market prices and thus depended on reimbursements from the government. With the new policy, Pertamina may save up to USD $3.6 billion. These funds can now be used to boost the company's working capital.