Deputy Minister of Finance Suahasil Nazara asked local governments to pay attention to synchronization when preparing a regional revenue and expenditure budget (APBD).

"We must prioritize synchronization of the central and regional budgets, especially in the context of education, health and infrastructure," said Suahasil at the 2024 National Development Planning Conference (Musrenbangnas) in Jakarta, quoted from Antara, Monday, May 6.

According to him, these three aspects are the key to achieving Indonesia Gold 2045. The reason is, the three of them play an important role in determining the quality of Indonesia's human resources (HR).

In addition, Suahasil also highlighted micro, small and medium enterprises (MSMEs) which also have a significant contribution to economic growth.

"Please, when planning the APBD, look at the synchronization of domestic spending, shopping for MSMEs, infrastructure, education, and health spending that prioritize domestic products," he explained.

He ensured that the Ministry of Finance would continue to design general allocation funds (DAU) and special allocation funds (DAK), regional incentives, as well as other transfer funds aimed at encouraging sustainable improvement in development performance.

"We together with the Ministry of Home Affairs and the Ministry of National Development Planning (PPN)/National Development Planning Agency (Bappenas) will see overall and draw up how regional incentive funds really provide incentives for sustainable regional development," he said.

The Ministry of Finance has set a regional transfer ceiling (TKD) worth IDR 857.6 trillion in the national revenue and expenditure budget (APBN), where as of March 31, 2024, IDR 184.3 trillion has been realized.

In addition, the Ministry of Finance also provides fiscal incentives for inflation control. In the third period of the 2023 fiscal year, the Ministry of Finance disbursed funds worth IDR 340 billion to appreciate 34 outstanding local governments, consisting of three provinces, six cities, and 25 districts.


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