JAKARTA - Minister of Finance Sri Mulyani Indrawati appealed to the ministers under the Advanced Indonesia Cabinet to be able to continue to carry out ministerial / institutional (K / L) expenditures in accordance with the ceiling in the 2020 State Budget, namely IDR 1,683.5 trillion.
Sri Mulyani said that spending is an instrument capable of maintaining economic stability amidst state revenue through taxes and investment that is under pressure.
"We will continue to pay attention to the new ministers because they have different ideas, so we keep on warning that this spending must be done," he said at the Parliament Complex, Jakarta, Tuesday, January 28.
Sri Mulyani said that various ideas and breakthroughs owned by the new ministers are expected not to change the quality of K / L spending so that it can still be an economic driver in 2020.
"We hope that the quality of spending will get better so that the new ministers can still carry out this expenditure execution so that in 2020 the ministry's spending can still be a system to boost the economy," he said.
He said that spending must continue to be encouraged so that consumption can continue to grow, including by accelerating the distribution of social assistance so that economic growth remains stable.
Sri Mulyani also predicts that there will be a widening deficit for 2020 due to several factors such as depressed tax revenues and the current dynamics of the global economy.
"Looking at revenue, we will see the possibility of a widening deficit, but seeing the global dynamics we will still use 1.76 percent of GDP until semester I. We'll see," he said.
For information, the deficit widening was also carried out in 2019, from 1.84 percent of the Gross Domestic Product (GDP) to 2.2 percent with the aim of stimulating state revenues that are under pressure due to the influence of global uncertainty conditions.
"The deficit in the realization of the 2019 State Budget is maintained at a level of 2.2 percent of GDP," he said.
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