Sri Mulyani Reshuffles The National Budget In The Face Of Emergency PPKM, Two Sectors Are Cut, What Are They?

Illustration (Photo: Doc. Ministry of Finance)

JAKARTA - The government through the Minister of Finance (Menkeu) Sri Mulyani decided to reallocate and adjust the National Economic Recovery (PEN) funds in the face of the Imposition of Emergency Community Activity Restrictions (PPKM) on July 3-20.

In a virtual press conference on Friday, July 2, the Minister of Finance explained that there were three sectors that experienced an increase in budget with the other two sectors experiencing a decline.

Meanwhile, the three sectors whose budget was increased are social protection from Rp148.27 trillion to Rp149.08 trillion, the health sector from Rp172.84 trillion to Rp185.98 trillion, and business incentives from Rp56.73 trillion to 62.83 trillion.

"Facing this situation (Emergency PPKM) there is a change in the PEN budget allocation, where we will sharpen which sectors are the priority," said the Minister of Finance.

The two PEN sectors whose funds were cut are MSME and corporate support from Rp193.74 trillion to Rp178.47 trillion.

"This decline is more about the guarantee program for corporate loans which has not yet experienced an increase," he said.

Then, priority programs from Rp. 127.85 trillion fell to Rp. 123.08 trillion.

"This priority program includes labor-intensive, tourism, and others," added the Minister of Finance.

In general, the revised PEN budget does not change the amount from the previous 2021 APBN ceiling, which is still Rp699.4 trillion.

"In anticipating the impact of Emergency PPKM, the APBN is anticipatory and flexible, but we still keep it safe and accountable," concluded the Minister of Finance.