La Nyalla: Want To Reduce The Budget Deficit? Vaccination For COVID-19 Must Work!

Health workers in Beijing, China, inject the inactivated vaccine for COVID-19 (HO-Xinhua / Antara)

JAKARTA - The Regional Representative Council of the Republic of Indonesia (DPD-RI) fully supports the government's efforts in the national COVID-19 vaccination process.

Chairman of the DPD-RI La Nyalla Mattalitti said the success of the COVID-19 vaccination program was a barometer in the national economic recovery, especially in terms of reducing the budget deficit to below three percent.

"The government's target to reduce the deficit to below three percent within three years will be determined by suppressing and controlling COVID-19," he said in an official statement, Wednesday, January 6.

Furthermore, La Nyalla also said that if the rate of spread of COVID-19 was out of control, it would be very difficult to get out of the current budget deficit.

Based on the information compiled by the editorial staff, the macro assumption for the 2021 State Budget is stated that the state revenue target is IDR 1,743.6 trillion. Meanwhile, state expenditure is estimated at IDR2,750 trillion. Thus, there was a difference of IDR 1,006.4 trillion or a deficit of 5.7 percent.

"The government's success in controlling the pandemic case will have a major impact on the recovery of the national economy," he said.

He added that the success of the COVID-19 vaccination could also raise the global community's trust in the Indonesian Government. This is believed to make the national economy move again.

As is known, through Law Number 2 of 2020 concerning State Financial Policy and Financial System Stability for Handling COVID-19, the deficit in the state budget (APBN) can be widened to more than three percent.

Separately, the Minister of Finance (Menkeu) Sri Mulyani Indrawati said that COVID-19 had a tremendous impact on the economy. As a result, the government was forced to raise the maximum deficit threshold.

"This is a consequence that we must take very seriously, namely how to reduce the deficit again in three years. This is a very ambitious timeframe," said the minister.

Currently the COVID-19 vaccine has been distributed to all corners of the country. In the near future, a number of people will get the Sinovac type vaccine.