JAKARTA - The Ministry of Finance (Kemenkeu) confirmed that the government has prepared a funding mechanism to pay the salaries of managers of the Red and White Village/Village Cooperative (Kopdes) for the next two years.
Minister of Finance Purbaya Yudhi Sadewa said that the payment of salaries would not add to the State Budget (APBN) or increase the budget deficit.
"We finally have to pay for the next two years," he told the media, Monday, May 11.
Purbaya explained that the budget needs would be taken from the Kopdes program fund which had previously been allocated but had not been fully used.
He ensured that the government would not propose new additional budgets, and funding would only be carried out through adjustments and the reuse of existing funds.
"That is part of the Kopdes funds that have not been used, we all put it in there first, so there is no new additional funds to the state budget, there is none," he said.
In addition, Purbaya revealed that the ceiling of financing from the State-Owned Bank Association (Himbara) of Rp. 40 trillion to support the Kopdes Merah Putih program has also not been fully utilized so that the remaining financing can be used to meet the initial operational needs of Kopdes Merah Putih.
"The financing of Himbara is Rp. 40 trillion in installments, the installments have not been used at all, it will be used there," he said.
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