Sri Mulyani Senewen At DPD: The Social Security Budget Is IDR 400 Trillion Three Years In A Row, But In The Regional Budget It's Only IDR 11 Trillion

JAKARTA - Minister of Finance (Menkeu) Sri Mulyani seemed excited when explaining the use of the 2022 State Budget at a working meeting with the DPD RI at the Senayan Parliament Complex, Jakarta. On that occasion, one of the main topics of discussion was the allocation of social budgets used to protect local communities.

“I also want that in front of this DPD, ladies and gentlemen, regional representatives, with an autonomous and decentralized system, health and education are actually delegated to the regions so that the community should also be protected by the regions. Because the people are in the regions, not in the center because there are no people in the center," he said on Tuesday, June 7.

According to the Minister of Finance, in the last three years during the pandemic, the state financial budgeting (APBN) has placed more than Rp400 trillion in social protection funds (perlinsos). In detail, the social security budget in 2020 is Rp. 498 trillion, in 2021 it is Rp. 469 trillion, and in 2022 it is Rp. 431 trillion.

"We can see that the perlindos has now been above Rp. 400 trillion for three years in a row. Please ladies and gentlemen, I want to ask my friends at DJPK (Directorate General of Fiscal Balance – Ministry of Finance) how much is our social spending in the APBD? It turned out to be only Rp. 11 trillion. Social spending in the APBD is only Rp. 11 trillion," he said.

For this reason, the Minister of Finance assessed that the role of regional governments was less than optimal because so far the position of the central government was still very dominant in protecting the community.

"This illustrates that the concept of transfer to the regions aims to protect the people, but some of the local people are still dominated by the center," he said.

“Similarly, 5 percent and 20 percent of health and education are delegated to the regions (of the mandatory APBN expenditures). Indeed, this is mostly for salary needs and others. But central spending is still dominant, especially during the pandemic (medium high) yesterday where all shopping was taken over at the center. Starting from vaccinations, patient care, doctor's incentives, it's all from the APBN, not from the APBD," he explained.

Thus, the Minister of Finance would like to explain that the State Budget has actually worked hard to reduce all pressures that have arisen due to the pandemic in recent years.

"So I want to describe to ladies and gentlemen, the APBN takes what is called a shock or becomes an extraordinary shock absorber," concluded Minister of Finance Sri Mulyani.