Head Of LKPP: Only 22.4 Percent Of Local Government Form Local E-catalog

Head of LKPP Abdullah Azwar Anas. (Photo: ANTARA)

JAKARTA - The Government Goods/Services Procurement Policy Institute (LKPP) noted that only 123 local governments (Pemda) have developed a storefront for goods/services in the Local e-Catalog, or only 22.4 percent of all 425 local governments.

Therefore, the Head of LKPP Abdullah Azwar Anas continues to encourage local governments to immediately establish a Local e-Catalog.

"The local catalog will be an instrument to drive the regional economy because that is where MSEs and local business actors can easily access government spending," he said in an official statement in Jakarta, Tuesday.

According to Anas, the key to economic growth is to distribute the economy evenly to the regions.

The Local Catalog will be a showcase for UMK-Cooperatives to be able to display their best products so that they can be purchased by the local government.

To accelerate the creation of Local e-Catalogs, LKPP will pick up the ball by conducting intensive consultations so that local governments can move faster.

LKPP itself has made a number of regulatory adjustments to support President Jokowi's directives regarding increasing domestic products.

The former Banyuwangi regent added that the Presidential Regulation on the Procurement of Government Goods/Services has mandated that ministries/agencies/local governments (K/L/PD) increase spending on domestic products, increase the portion of spending for small, micro and cooperative enterprises (UMK-Cooperatives) and acceleration of APBN/APBD spending through Electronic Catalogs (e-Catalog).

"From the President's policy, it is mandated that 40 percent of spending is allocated for MSEs-Cooperatives," concluded Anas.

At the opening of the 2022 Government Internal Oversight National Coordination Meeting at the State Palace, President Jokowi appreciated the increase in the number of local e-catalogs operated by regional governments from 46 regional governments to 123, while still urging that the Financial and Development Supervisory Agency (BPKP) and the supervisory apparatus Internal Government (APIP) continues the supervisory function.

Since March 30, 2022, the President has issued Presidential Instruction of the Republic of Indonesia Number 2 of 2022 concerning Acceleration of Improvement of Domestic Products and Products of Micro, Small Business, and Cooperatives in the context of the success of the proud national movement made in Indonesia in the implementation of government procurement of goods/services.

In Presidential Instruction No. 2/2022 it is stated that the President has instructed that at least 40 percent of the budget for goods/services should be used to absorb MSME products and domestically produced cooperatives (PDN).

The Presidential Instruction also instructed that at least Rp400 trillion from the APBN and the 2022 APBD be spent on PDN with priority on MSME products.