JAKARTA - The Ministry of Finance (Kemenkeu) finally gave an official statement regarding the use of the state budget related to the plan to provide compensation for farmers whose animals died from mouth and nail disease (PMK).
The Director General of Budget of the Ministry of Finance Isa Rachmatarwata said that his party did not rule out the possibility of taking the existing allocation of funds for the COVID-19 Handling and National Economic Recovery (PC-PEN).
"Actually, if we talk logically (PMK budget) it doesn't really fit for PC-PEN spending," he said when answering questions from the media crew online on Thursday, June 24.
According to Isa, although PMK is a sector outside the target of PC-PEN, the government still optimizes all available resources in order to create stability in society.
"But the important thing is that wherever this budget comes from, it must come from the state budget," he said.
Isa himself admitted that he was conducting a final study with various relevant agencies so that the new policy could be realized immediately.
"We are preparing the amount. We will study and sharpen it with the Coordinating Ministry for the Economy, as well as the Ministry of Agriculture. God willing, this budgeting will be carried out proportionally with good governance considering that there is also an emergency that must be responded to quickly," he stressed.
Previously, the Coordinating Minister for the Economy Airlangga Hartarto had stated that the government would replace cattle that died due to FMD with a value of Rp. 10 million per head.
"Regarding the replacement, especially for animals that are destroyed or forcibly killed, the government will prepare compensation, especially for MSME breeders, which is Rp. 10 million per cow," said Airlangga yesterday.
Meanwhile, the PC-PEN ceiling for this year is known to reach Rp455.6 trillion, which is divided into three main clusters, namely health management of Rp122.5 trillion, public protection of Rp154.7 trillion, and economic strengthening of Rp178.3 trillion.
Meanwhile, the realization of PC-PEN until June 17, 2022 is only around Rp. 113.5 trillion or equivalent to 24.9 percent of the total funds provided by the government.
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