You Should Know: The Performance Of The State Budget Is Clean, Sri Mulyani Cancels Withdrawing IDR 310 Trillion Debt In 2021

Illustration. (Photo: Doc. Antara)

JAKARTA - The government through the Minister of Finance (Menkeu) Sri Mulyani confirmed that there was a decline in the realization of debt financing throughout last year.

In the explanation of the Minister of Finance, as of December 31, 2021, debt financing was recorded at IDR 867.4 trillion. This figure is equivalent to 73.7 percent of the planned ceiling of IDR 1.177.4 trillion.

"We see that debt financing is IDR 310 trillion smaller," she said at a press conference on our 2021 State Budget which was held in Jakarta, Monday, January 3.

According to the state treasurer, the positive results could not be separated from the strategic optimization of the Joint Decree (SKB) III policy with Bank Indonesia and the excess budget balance (SAL) of the previous period.

"This is compared to debt financing in 2020 which amounted to IDR 1.229.6 trillion, which means it has decreased by almost 30 percent (29.5 percent) in just one year," she said.

Furthermore, the Minister of Finance said that the nicks recorded last year could not be separated from the performance of state revenue, which was a surplus of IDR 259.5 trillion to IDR 2.03.1 trillion from the ceiling of IDR 1.743.6 trillion.

A brilliant indication of the work of the 2021 State Budget is also reflected in the budget deficit which has narrowed to IDR 783.7 trillion or 4.65 percent of gross domestic product (GDP), from the previous IDR 1.006,4 trillion or 5.7 percent of GDP.

According to VOI records, until the end of October 2021, the total government debt is known to be IDR 6.687.28 trillion, equivalent to 39.69 percent of GDP. Meanwhile, the burden of paying interest on state debt throughout 2020 reached IDR 317.89 trillion