Sri Mulyani Reports 2020 State Financial Accountability To DPR: State Budget Overdraws Rp947 Trillion

Minister of Finance Sri Mulyani (Photo: Doc. Ministry of Finance)

JAKARTA - The Minister of Finance (Menkeu) submits an accountability report for the 2020 State Budget (APBN) to the DPR in a plenary meeting. On that occasion, the Minister of Finance said that the 2020 State Budget experienced a deficit of Rp. 947.6 trillion.

The deficit occurred due to lower state revenues last year which amounted to Rp1,647.7 trillion compared to state expenditures which reached Rp2,595.4 trillion.

"This APBN deficit is carried out to protect all segments of Indonesian society and work extraordinarily hard in containing the impact of the pandemic," he said at the Senayan parliament complex, Jakarta, Thursday, July 15.

In detail, the Minister of Finance explained that the realization of state revenues of Rp. 1,647.7 trillion was 96.9 percent of the budget ceiling set in the 2020 APBN. This figure also decreased by 15.9 percent compared to the realization of state revenues in 2019.

"Last year's state revenue was contributed by taxes or taxation of Rp. 1,285.1 trillion, PNBP (Non-Tax State Revenue) of Rp. 343.8 trillion, and grants of Rp. 18.8 trillion," he said.

Meanwhile, the realization of state expenditures of Rp2,595.4 trillion is said to have reached 94.7 percent of the set ceiling. To note, the 2020 state expenditure increased by Rp. 296.1 trillion or 12.53 percent of the expenditure made in 2019.

"The 2020 state expenditure consists of central government spending of IDR 1,832.9 trillion as well as regional transfers and village funds of IDR 762.5 trillion," he said.

Furthermore, in order to make up for the APBN that was short in last year, the government then used a financing scheme (debt) through the issuance of State Securities (SBN) of IDR 1,193.2 trillion.

Meanwhile, the value of net domestic financing is IDR 1,146.8 trillion and foreign financing is IDR 46.41 trillion.

Thus, there is a budget financing side of IDR 245.6 trillion which is then used for a number of strategic programs in 2021.

“The state budget policy as a fiscal instrument is primarily aimed at reducing the impact of the extraordinary pandemic. The government remains and will continue to be committed to managing the APBN in a prudent and credible manner to maintain the sustainability of the financial system in the future," said Minister of Finance Sri Mulyani.