North Kalimantan's Regional Budget Absorption Has Been Above 60 Percent as of the End of September

The Governor of Kaltara, Zainal Arifin Paliwang. (Photo: Doc. Antara)

JAKARTA - The realization of the 2022 Regional Revenue and Expenditure Budget (APBD) has increased quite rapidly, based on information from the North Kalimantan Finance and Assets Agency (BKAD), the absorption of the Kaltara APBD in 2022 until the end of September is already above 60 percent.

"The provincial government of Kaltara also continues to strive so that the realization continues to increase, moreover there is progress compared to last 2021," said the Governor of Kaltara, Zainal Arifin Paliwang in Tanjung Selor, Bulungan, quoted from Antara, Monday 10 October.

In 2021 the realization of the APBD until the end of the third quarter and entering the fourth quarter is still below 50 percent. In the fourth quarter of this year, the realization of the Kaltara APBD was already above 60 percent.

"The current realization is above 60 percent. And it's rising quite fast. Previously, a few months ago, in the second quarter it had not reached 50 percent," said Zainal.

The governor said that the realization of the APBD must be considered. Especially now, it's the end of the third quarter and the beginning of the fourth quarter. To increase realization, all sectors and opportunities in increasing APBD realization must be maximized.

"This is our belief and most of the 75 percent of the budget comes from the DBH (Profit Sharing Fund). So it is controlled. If the realization is good, then the transfer funds will also be smooth," he said.

It ensures the realization according to the plan. In terms of constraints, there are not too many things that can hinder.

"So it must be spurred again. If you look at the current conditions, the realization has increased significantly," said Zainal.

The rhythm of the realization of the APBD in the fourth quarter, in November and December, can reach 90 percent. Moreover, all Regional Apparatus Organizations (OPD) already have a strategy.

"I'm sure I can. Because in the mirror from previous experiences, the realization at the end jumped up. And that usually happens," he said.

Accelerating the realization of spending in the APBD is one of President Joko Widodo's directives. The governor said that the realization of regional spending plays a very important role in supporting national economic growth.

In addition, local governments are also required to allocate at least 40 percent of the budget for the procurement of goods and services in the APBD to purchase domestic products.

"If there is a APBD application from the region, the attachment must be seen whether it includes a plan to purchase 40 percent of domestic goods. Otherwise, the Ministry of Home Affairs will reject it," he explained.

The use of domestic products will help local government officials to avoid potential violations of the law. Moreover, the purchase of goods and services through e-catalogs can also help local governments determine the prices of goods and services in a measurable and transparent manner.

He said, thousands of items of local MSME products will be included in the e-catalog so that it is easily accessible to purchase goods and services.

"e-catalog can anticipate corruption loopholes, accelerate the realization of goods and services spending, and increase people's income through MSMEs," he said.