2022 Is Still Considered To Be Shrouded In Uncertainty, The Government Is Confident In Fiscal Consolidation To Reinforce Deficit Target Of 3 Percent In 2023

Ministry of Finance building. (Photo: Doc. Ministry of Finance)

JAKARTA - The Ministry of Finance (Kemenkeu) emphasized that the 2022 period is still overshadowed by uncertain economic conditions. However, the government continues to strive for consolidation towards fiscal discipline as mandated by Law No. 2 of 2020 with a target of 3 percent by 2023.

Head of the Fiscal Policy Agency (BKF) of the Ministry of Finance, Febrio Kacaribu, said that there are five things that are the direction of the 2022 fiscal policy. First, the acceleration of handling COVID-19 by strengthening the health sector as the key to recovery with the success of vaccination programs, health protocols, improvement of health facilities, and medicines. medicine.

“Health remains the first column. We know it is a necessary condition," he said in an official statement quoted on Friday, January 14.

Second, maintaining resilience, survival, and accelerating recovery through social protection programs, support for the business world, and MSMEs. This is done by providing the Family Hope Program, Basic Food Cards, Pre-Employment Cards, Village Funds Direct Cash Assistance, People's Business Credit interest subsidies, and incentives for the business world.

Third, maintain the momentum of structural reforms to increase competitiveness and production capacity through superior human resources and integrity, a reliable health system, adaptive social protection, supporting infrastructure for economic transformation, and structural reforms.

Fourth, comprehensive fiscal reform through tax reform, spending better, and financing innovation.

"We fix our spending, we fix our taxation with the law, then we also fix our financing," he said.

Fifth, keep the implementation of the 2022 State Budget running optimally as the foundation for fiscal consolidation in 2023 by optimizing structural reforms, successful fiscal reforms, and maintaining the joint commitment of all Ministries/Agencies.

"The direction later is not only that we will be more credible towards fiscal consolidation of 3 percent or less, but we also want the recovery to be of quality," closed Febrio.