Projo Calls Hasto PDIP's Statement On Misleading Government Debt

JAKARTA - The General Treasurer of the DPP Projo Panel Barus considers the statement of PDIP Secretary General Hasto Kristiyanto regarding government debt to be shallow and misleading. According to the Panel, the most objective way to measure debt must be compared to the country's economic measure or debt to GDP ratio.

"Based on statistics on Indonesia's foreign debt, Indonesia's debt to GDP ratio is currently 29.6% lower than the figure when Jokowi only took office in 2014 of 32.9%. This means that Jokowi will leave his position after successfully reducing the debt to GDP ratio," said Panel Barus, Friday, April 5.

The panel responded to Hasto, who stated that the progress made by President Jokowi was made through a very large debt burden. According to Hasto, the current government debt is almost US$ 196 billion, and does not include SOE debt which reaches US$ 220 billion.

Hasto even had the view that if the two debts were merged, Indonesia could potentially face serious problems. He admitted that he was increasingly worried because the practice of nepotism was getting stronger.

Based on Hasto's statement, the Panel explained Indonesia's debt to ratio when compared to countries in the region including the lowest. Malaysia is 64.3%, Singapore is 168%, Thailand is 54.3%, the Philippines is 60.3%, and Vietnam is 42.8%. In Asia Pacific, the average debt to GDP ratio is 86.8%.

"If you look at the comparison of debt to GDP ratios with regional countries, Indonesia actually still has room to owe. However, in fact, this ratio has actually decreased over the last 10 years. This means that debt management in the Jokowi era is quite careful," explained the Panel.

The panel emphasized that with a controlled debt ratio, Jokowi's ten years of development is essentially an important asset as a basis for achieving advanced Indonesia.