Sri Mulyani: 2021 National Economic Recovery Budget So IDR 403.9 Trillion

Minister of Finance, Sri Mulyani Indrawati. (Photo: Ministry of Finance)

JAKARTA - Minister of Finance Sri Mulyani Indrawati has revised the budget allocation for the 2021 National Economic Recovery (PEN) program to IDR 403.9 trillion. This budget is an increase from the previous plan of IDR 372.3 trillion. Even though the PEN budget this year has increased, this budget is still much smaller than that in 2020 which amounted to Rp.695.2 trillion.

"The national economic recovery will continue to be supported in the 2021 State Budget," she said in a webinar of the Indonesian Parliamentary Women's Caucus, Monday, January 4.

The total PEN program budget of Rp. 403.9 trillion is focused on the allocation of six fields, namely health, social protection, sectoral ministries / agencies and local governments, MSMEs, corporate financing, and business incentives.

This state treasurer explained, for the health sector, it received an allocation of Rp. 25.4 trillion, with the SILPA Earmark 2020 Rp. 47.07 trillion which will be utilized this year.

The health sector budget is used for the procurement of COVID-19 vaccines, facilities and infrastructure for vaccination programs, immunization, research and development laboratories, as well as reserves for BPJS contribution assistance needed for PBPU or BP.

Meanwhile, for the social protection sector, it has an allocation of Rp110.2 trillion with a focus on PKH for 10 million KPM, Rp. 200 thousand for food cards per KPM, Rp. 10 trillion for pre-work, Village Funds, and cash assistance for 10 million KPM with Rp. 200 thousand per KPM for six months.

Meanwhile, for the sectoral sector K / L and local government, Rp. 184.2 trillion was allocated, which was focused on tourism support, food security, ICT development, loans to regions, labor-intensive K / L, industrial estates, and reserves for PEN spending.

For the sector of MSMEs and corporate financing, Rp.63.84 trillion is allocated with a focus on regular KUR interest subsidies, KUMKM financing, placement of funds in banks, guarantee loss limits, and PEN financing reserves.

Then it is also used for PMN to guarantee institutions (LPEI), PMN to BUMNs that carry out assignments such as Hutama Karya, ITDC, Pelindo III, and KIW, as well as guaranteeing backstop loss limits.

Lastly, business incentives are allocated a budget of Rp. 20.26 trillion, including taxes borne by the government (DTP), exemption of PPh 22 Imports, and preliminary VAT refunds.

Meanwhile, the realization of the PEN budget by the end of December 31, 2020 amounted to IDR 579.78 trillion or 83.4 percent of the ceiling of IDR 695.2 trillion. This budget is still remaining or not absorbed Rp. 115.42 trillion.

The realization includes the health sector amounting to Rp.63.51 trillion from a ceiling of Rp. 99.5 trillion, social protection Rp.220.39 trillion from a ceiling of Rp.230.21 trillion, as well as sectoral ministries / institutions and regional governments of Rp.66.59 trillion from a ceiling of Rp.67.86 trillion.

Furthermore, UMKM is Rp112.44 trillion from a ceiling of Rp116.31 trillion, corporate financing is Rp60.73 trillion from a ceiling of Rp60.73 trillion, and business incentives are Rp.56.12 trillion from a ceiling of Rp120.61 trillion.