<![CDATA[The financing of the Jakarta–Bandung High-Speed Rail (Whoosh) project has raised legal and ethical concerns, particularly regarding the use of Indonesia’s State Budget (APBN). Although developed under a Public–Private Partnership (PPP), recent debates question whether allocating public funds to support or cover its commercial debt is compatible with fiscal law and good governance principles. This article aims to assess whether APBN involvement in the Whoosh project aligns with the State Finance Law, State Treasury Law, and the beneficiary-pays principle, which requires financial burdens of commercial activities to be borne by their direct beneficiaries. A normative juridical method is used to interpret relevant legislation and evaluate the legal boundaries of APBN financing. This is complemented by fiscal ethics analysis to examine accountability, proportionality, oversight, and the risk of moral hazard. The study finds that using APBN funds for a commercially operated project may violate fiscal accountability and proportionality. It also raises concerns about intergenerational justice, as future taxpayers could inherit present commercial risks. The blurred distinction between public and corporate responsibilities may weaken oversight and encourage moral hazard.]]>
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