Anies Baswedan Asks For Profit Sharing, Sri Mulyani: We Used To Pay 50 Percent

Minister of Finance, Sri Mulyani. (Photo by: Setkab)

JAKARTA - DKI Jakarta Governor Anies Baswedan asked the central government to immediately disburse the profit sharing fund (DBH) so that local governments can regulate cash flow. According to Anies, this was done in order to better handle the corona virus or COVID-19 pandemic in his region.

Unmitigated, Anies Baswedan even sent a letter to the Minister of Finance Sri Mulyani regarding the disbursement of the DBH.

In response to this, Sri Mulyani explained that the funds requested by Anies Baswedan were the 2019 DBH. Related to the 2019 DBH, Sri said, the government's financial statements were still being audited by the financial audit agency (BPK).

"There is a 2019 DBH that we estimate underpayment, because the allocation is not in accordance with reality. What we have to pay for the 2019 DBH is usually already complied with the BPK first, so that it is declared that it is underpayment, so we have just paid," he said at a press conference for our state budget virtually, in Jakarta, Friday, April 17.

According to Sri, generally the DBH will be audited in April, then the results of the BPK audit will be brought to the House of Representatives (DPR) in July. After discussion, the new DBH can be paid.

"Usually, April is submitted to the DPR in July and after the law is made we pay it. So the 2019 DBH is paid in August or September," he said.

On the other hand, Sri Mulyani admitted that she understood that the regional revenue (PAD) was decreasing, so the Governor of DKI asked for DBH to be paid first. Given the precarious condition, the Ministry of Finance finally decided to pay 50 percent of the DBH while waiting for the BPK decision.

"Today, various regions have experienced a decrease in PAD. Indeed, the technique is waiting first from the BPK audit. Pak Anies asked to be paid first. So because it is urgent now, we will pay it first," he explained.

According to Sri Mulyani, there are several areas that have high spending on goods and employees. One of them is DKI Jakarta, where personnel expenditure is very high, almost IDR 25 trillion. Meanwhile, Rp24 trillion for goods expenditure.

"This can be reallocated and there is no need to wait for DBH funds from regional transfers. This is not as big as their spending, from the general allocation funds (DAU) they use their own funds," he said.

Sri Mulyani said that the government provides DBH which comes from tax revenues. Thus, the allocation is in accordance with the estimated local tax revenue.

However, Sri continued, logically, tax revenue is now underway and is likely to decline.

"The DBH payment for 2020 is usually quarterly, so the first quarter is paid as allocated in the State Budget, then the second quarter in April, and so on," he said.

Meanwhile, Director General of Fiscal Balance (DJPK) of the Ministry of Finance Astera Primanto Bhakti said that there is already a Minister of Finance Regulation (PMK) related to the disbursement of part of the DBH.

"What should have been paid in the fourth quarter, maybe this April," he said.

Furthermore, DBH payments will be paid quarterly and the amount will be adjusted accordingly. Astera said, for the first quarter 2020 prognosis DBH has been paid and the second quarter prognosis will be paid in June.