The 2023 State Budget Is Directed To Acquire Productivity And Keep The Economy From Global Uncertainty

Illustration (Photo: Doc. Ministry of Finance)

JAKARTA - The government through the DPR is said to have reached an agreement on the posture of the Draft Law on the State Revenue and Expenditure Budget (RUU APBN) for Fiscal Year 2023.

Minister of Finance (Menkeu) Sri Mulyani stated that the agreement was based on the results of the decision making of the DPR Budget Board (Banggar) meeting to proceed to level II discussions.

"The government together with the DPR have also agreed to stipulate that the 2023 State Budget Law is directed to increase national productivity and maintain the sustainability of state finances to be stronger in dealing with shocks in the midst of global economic uncertainty while still optimizing the role of the State Budget as an instrument to protect the entire community," he said, quoted Wednesday, September 28.

According to the Minister of Finance, the 2023 State Budget remains a reliable instrument in containing various shocks that occur.

We must be able to continue to protect the people from purchasing power and protect the economy so that we can maintain the momentum of recovery. However, in carrying out the task of protecting the people and protecting the economy, the state budget must still maintain its health and sustainability," he said.

On the occasion, the Minister of Finance also said that the DPR and the government had agreed to implement fiscal consolidation next year below 3 percent, precisely at 2.84 percent.

The state treasurer assessed that the decision to consolidate fiscally was an anticipatory and strategic step. In addition, the government will be very aware of the management of the debt deficit and financing.

"With the increase in interest rates as well as the turmoil in the financial sector and the exchange rate, the lower deficit provides security potential for our State Budget and our economy," he said.

Meanwhile, in terms of the state budget posture, state revenue is projected to reach Rp2,463 trillion. That amount is a figure that may be considered safe if viewed from the realization of this year's revenue.

But on the other hand, there must be a mechanism to secure state revenues both in terms of taxes, outages, and non-tax state revenues if commodity turmoil causes commodity prices not as high as assumed.

Meanwhile, state expenditures reached Rp3,061.2 trillion with a focus on improving the quality of human resources, supporting the preparation of the election stages, the development of the State Capital, and the completion of strategic infrastructure projects that are beneficial to the community and the economy.

"Recognizing that global dynamics will still take place, we humbly ask the DPR to continue to maintain good relations, so that we can continue to maintain the state budget as a very important instrument in protecting society and the economy. The flexibility of the state budget is still needed but remains accountable," closed the Minister of Finance Sri Mulyani.