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Defense Spending as Strategic Investment in Indonesia: A Systematic Review of Governance and Capability Sustainability Haridinuto; Surachman Surjaatmadja
Administratio Vol 17 No 1 (2026): Administratio: Jurnal Ilmiah Administrasi Publik dan Pembangunan
Publisher : Jurusan Ilmu Administrasi Publik, Universitas Lampung

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.23960/administratio.v17i1.620

Abstract

Indonesia’s defense-spending problem cannot be understood only as a shortage of fiscal resources. It also reflects a governance-mediated capability risk: annual budget allocations, procurement decisions, sustainment obligations, manpower policy, industrial participation, and accountability mechanisms are not yet fully integrated into a long-cycle capability system.  This article examines the conditions under which defense spending in Indonesia may function as strategic investment rather than as a recurring fiscal burden. Strategic investment is understood here as expenditure that generates durable readiness, life-cycle affordability, industrial learning, strategic resilience, and public legitimacy.  The study employs a concept-driven systematic literature review using a PRISMA-informed protocol. Literature was identified through Scopus, Web of Science, and targeted Google Scholar searches, then screened and synthesized thematically. A final core corpus of 33 studies was analyzed across four themes: fiscal capacity and governance gap; life-cycle costing, procurement, and sustainment; defense manpower, reserve components, and budget efficiency; and industrial participation, accountability, and strategic value. The review finds that Indonesia’s central challenge is not merely underfunding, but capability leakage caused by weak alignment between fiscal planning, procurement continuity, sustainment costs, manpower design, industrial policy, and oversight.  Through the Defense Resource Governance and Management System framework, the article argues that defense spending becomes strategic investment only when it is governed as an integrated long-term capability system. The article concludes that failure to govern defense spending in this way is not simply an administrative inefficiency, but a national security risk because repeated expenditure may fail to accumulate durable strategic value.
Kajian Akademis Tata Kelola dan Manajemen Sumber Daya Buatan:  Teknologi Siber dan Infrastruktur Digital sebagai Obyek Vital Nasional dalam Kerangka Undang-Undang Nomor 23 Tahun 2019 tentang Pengelolaan Sumber Daya Nasional untuk Pertahanan Negara Wujarso, Riyanto; Surjaatmadja, Surachman; Wahyudi, Imam Tri
Jurnal Ragam Pengabdian Vol. 3 No. 2 (2026): Mei-Agustus, Sustainable Development Goals (SDGs): Multidisciplinary Perspectiv
Publisher : Lembaga Teewan Journal Solutions

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.62710/csfk8564

Abstract

The shift of the state's center of gravity into the digital domain has created new vulnerabilities, where disruptions to cyber infrastructure may lead to national paralysis. This study examines the governance of cyber technology and digital infrastructure as National Vital Objects within the framework of Law No. 23 of 2019 on the Management of National Resources for State Defense (UU PSDN). A systems thinking approach was employed using Causal Loop Diagrams (CLD) and SWOT/TOWS analysis to identify the institutional factors underlying the gap between high cyber threat intensity and weak compliance enforcement. The findings reveal that cyber technology and digital infrastructure conceptually and operationally qualify as Artificial Resources and National Vital Objects but lack legal certainty due to the absence of the Government Regulation mandated by Article 56 of the UU PSDN. This regulatory gap weakens the implementation of Article 59 on asset maintenance and reduces the effectiveness of cyber detection and response mechanisms. The TOWS analysis positions Indonesia in a turn-around strategic posture emphasizing internal institutional consolidation. The study recommends accelerating the issuance of the Government Regulation, harmonizing it with Presidential Regulation No. 82 of 2022, establishing mandatory incident reporting and administrative sanctions, allocating a minimum cybersecurity budget, expediting the Cyber Security and Resilience Bill, and institutionalizing a Cyber Reserve Component through professional partnerships.