Budget Has Not Been Absorbed 100 Percent, BGN Proposes Additional IDR 28.6 Trillion For MBG

Illustration of the activities of the Nutrition Fulfillment Service Unit (SPPG) (ANTARA)

JAKARTA - Head of the National Nutrition Agency (BGN), Dadan Hindayana, said that his party proposed an additional budget of IDR 28.6 trillion to the Ministry of Finance for the implementation of the Free Nutritioning Program (MBG). Although currently, the MBG budget of IDR 71 trillion has not been absorbed 100 percent.

Dadan submitted the additional budget application at the 2025 BGN program evaluation and budget absorption meeting with Commission IX of the DPR at the Parliament Complex, Wednesday, November 12.

Dadan said that the absorption of the National Nutrition Agency did look exponential. According to Dadan, many parties initially doubted that BGN could absorb a budget of IDR 71 trillion.

"Because we saw that in January alone we only absorbed Rp52 billion. February was only Rp1.1 trillion, in March it was Rp1.8 trillion, in April alone it was still Rp2.5. Alhamdulillah, now we have absorbed Rp43.474 trillion, covering 61.2 percent and this week it will still increase because we are in the process of several bills that we will pay this week. So, it will exceed Rp43 trillion, and this covers 61.23 percent of the total budget ceiling of Rp71 trillion," said Dadan.

Dadan believes, within approximately 1 month and 20 days, the entire budget will be absorbed. In fact, he said, BGN will need a budget of around Rp29.5 trillion for the MBG program.

"So at the end of November we will absorb an additional Rp8.5 trillion. Eh, until December 15, we will absorb an additional Rp10 trillion and then at the end of December we will absorb Rp11 trillion, so we will need a total of 29.5 trillion in the last 50 days," he said.

"Meanwhile, the budget ceiling for government assistance to eat nutritiously, the ceiling is Rp. 51.2. So what has been absorbed is Rp. 36.23 trillion, so the available budget is only Rp. 14.97 trillion. With this projected need, we will need an additional Rp. 14.53 trillion for, eh, government assistance programs to eat nutritiously," continued Dadan.

In addition, Dadan said BGN is also developing a SPPG or Nutrition Fulfillment Service Unit in remote areas with a total of 8,000 kitchens. The pattern is, BGN cooperates with local government task forces which then determines the points based on needs.

"This remote area is an area that cannot be reached more than 30 minutes from the nearest area. It can be in mountainous areas, it can be an area that is limited by rivers, can be trafficked by sea, islands, or in remote areas. So we have to establish a SPPG-SPPG whose capacity is below 1,000 with a size of 10x15 and this is the widest opportunity for local governments to determine including potential investors," he said.

Dadan said that the SPPG building in this remote area is different from the agglomeration areas provided with daily incentives. In this remote SPPG area, said Dadan, the SPPG was built and when it was finished it was immediately rented out in advance for 4 years.

So that BGN will cooperate with the Ministry of Finance with the Directorate General of State Assets. "Later we will see in each region the feasibility of how much rent can be spent for SPPG built in remote areas. For example, if we build 1.5 billion, the break-even point is 3 years, that's 500. So maybe if we rent 4 years ahead, we can pay IDR 2 billion.

"That's more or less, but this really depends on the assessment from the team later, the Ministry of Finance has the feasibility to rent in front. Later, we will cooperate with local youth, the local community, so that community involvement will exist," he added.

Therefore, Dadan said that BGN needed an additional budget of around Rp. 28.6 trillion with a total BGN budget of 2025 of Rp. 99 trillion.

"Well then our total budget requirement, the addition that we are submitting to the Ministry of Finance is IDR 28.63 trillion. So, the National Nutrition Agency is predicted to absorb 99 percent of the IDR 71 trillion, then add IDR 28.63 trillion, so we will need a budget of approximately IDR 99 trillion in 2025," he concluded.