Minister Of Home Affairs Asks Local Government To Quickly Overcome Inflation Related To Rising Fuel Prices

Minister of Home Afairs, Tito Karnavian. (ANTARA/Boyke Ledy Watra)

JAKARTA - Minister of Home Affairs (Mendagri) Muhammad Tito Karnavian asked local governments to act quickly to tackle inflation, following the increase in the price of fuel oil (BBM).

"We gave a briefing on inflation, especially those related to reducing subsidies due to the increase in fuel prices. We need to anticipate everything together, both centrally and regionally," he said at the Regional Inflation Control Coordination Meeting, in Jakarta, as reported by ANTARA, Monday, September 5.

Previously, the government officially raised the price of pertalite, pertamax, and diesel fuel as of Saturday, September 3, 2022. The Minister of Home Affairs explained several points that the regional government could take in an effort to control inflation.

First, local governments need to make efforts to control inflation a priority issue and synergize with all parties, such as when controlling the COVID-19 pandemic.

"The main key is to help fellow regional heads and forkopimda all of them are busy, there is a lot of work in each region, we understand that in all regions there are many issues that must be addressed, but please make inflation control a priority issue," he said.

Second, local governments are asked to carry out effective public communication so as not to make people panic. Because, according to the Minister of Home Affairs, when people panic, it will trigger sentiment and economic impacts, such as excessive purchases due to panic.

Third, local governments are asked to activate regional inflation control teams (TPID) at both the provincial and district/city levels.

“Please, fellow governors, ask representatives of BI and regional BPS to announce inflation at the district/city level because it will be known which regents and mayors can control and which cannot. In fact, most of it can be controlled if we work together with forkopimda,” he said.

Fourth, the Minister of Home Affairs asked the regional government to activate a food task force led by the regional secretary. The food task force, one of which is tasked with monitoring price increases every day.

Fifth, the local government needs to ensure that subsidized fuel is right on target for the poor. Sixth, implement the energy-saving movement.

Seventh, said the Minister of Home Affairs, it is necessary to carry out a fast-harvest food planting movement. Eighth, implementing interregional cooperation.

Ninth, local governments must intensify social safety nets from unexpected expenditure budgets (BTT), social assistance (bansos), village funds, general allocation funds, to the use of corporate social responsibility (CSR) funds.

"Please also apart from the APBN and APBD, take advantage of CSR in their respective regions from companies and able-bodied communities by using schemes," said the Minister of Home Affairs.