JAKARTA - The DKI Jakarta Provincial Government received an incentive of IDR 11.677 billion from the central government for regional performance in controlling inflation in the first period of the 2023 Fiscal Year.
"This fiscal incentive can be used to fund activities related to the community, support inflation control, stunting reduction, increase investment and eliminate extreme poverty," said DKI Jakarta Provincial Secretary Joko Agus Setyono in Jakarta as reported by ANTARA, Monday, July 31.
Based on the Decree of the Minister of Finance Number 271 of 2023, the central government is conducting fiscal interventions on regions that can keep the inflation rate under control, including DKI Jakarta.
DKI Jakarta is part of 33 local governments that receive this fiscal incentive, including three provincial governments, 24 district governments and six city governments.
Apart from DKI Jakarta, the list of recipients for the provincial government are Gorontalo and Central Kalimantan.
Controlling this inflation can also be a model for other regions. The Director General (Dirjen) of Financial Balance of the Ministry of Finance Luky Alfirman said the local government's performance in controlling inflation was considered based on four things.
First, the implementation of nine food inflation control efforts carried out by the local government. Second, local government compliance in submitting reports to the Minister of Home Affairs regarding food inflation control by districts/cities
Third, the inflation rate for each region. Fourth, the ratio of the realization of supporting spending to control inflation to total regional spending.
"We hope that with this fiscal incentive, especially for the performance of controlling inflation, all regions will be motivated to continue to improve their performance for a better Indonesia," said Luky.
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According to BPS data in the second quarter of 2023, the annual inflation rate (year on year / yoy) of DKI Jakarta is in a downward trend, from March 2023 to June 2023.
In March 2023, the annual inflation rate was recorded at 4.00 percent, sloping compared to inflation in the previous quarter (December 2022) which was 4.21 percent (yoy). This inflation achievement is also lower than the March 2023 National inflation which was 4.97 percent (yoy).
The development of Jakarta's inflation in June 2023 is still under control with inflation achievements of 0.01 percent (month to month/mtm), 0.95 percent (year to date/ytd) and 3.20 percent (yoy).
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