Sri Mulyani Claims Indonesia Is The Best Country In The Preparation Of Fiscal Policy

Minister of Finance Sri Mulyani (Photo: Antara)

JAKARTA - Finance Minister Sri Mulyani Indrawati attended the Working Meeting of Committee IV of the Regional Representative Council (DPD) RI. On this occasion, she claimed that Indonesia was one of the countries that was quite good at formulating a fiscal policy framework compared to other countries.

"Indonesia is one of the countries that is quite good at formulating a fiscal risk framework at the central level. In the regions because there are not yet and there are not many regions that have debt, the risk is also relatively well maintained," he explained at the working meeting of Committee IV DPD RI, Tuesday, June 11.

According to Sri Mulyani, Indonesia's fiscal policy is better than Latin American countries because local governments have a very large debt, causing bankruptcy.

"In the United States there are areas that go bankrupt and restructuring and even bailout must be carried out," he explained.

Therefore, Sri Mulyani said that the government continues to increase the synergy of central and regional fiscal policies as well as harmonization of central and regional spending in the preparation of the Macro Economic Framework and the Principles of Fiscal Policy (KEM PPKF) in 2025.

"Fiscal harmonization is carried out by smoothing the PPKF KEM between the center and the regions and we are compiling a fiscal risk management framework," he said.

In addition, Sri Mulyani explained that the government continues to improve and improve the central and regional fiscal policies so that they can provide stability support for economic conditions.

"Alhamdulillah, in terms of fiscal and regional risks, we continue to improve and improve so that we can provide stability support for macroeconomic conditions," he said.

Sebagai informasi, Pemerintah telah mengeluarkan Peraturan Pemerintah (PP) Nomor 1 Tahun 2024 mengatur tentang harmonikasi kebijakan fiscal nasional. Peraturan ini bertujuan untuk melaksanakan ketentuan Pasal 163, Pasal 166, Pasal 168, dan Pasal 180 dalam Undang-Undang (UU) Nomor 1/2022 tentang hubungan keuangan pemerintah pusat dan daerah.