Minister of Finance Purbaya Responds to the Debt of the High-speed Train and the National Debt Reaches Rp8.000 Trillion

Jakarta - Minister of Finance (Menkeu) Purbaya Yudhi Sadewa explained the issue of PT. China-Indonesia High-speed Railway (KCIC).

According to him, the scheme has been prepared without having to use the State Budget (APBN). This was conveyed by Minister of Finance Purbaya after a limited meeting (ratas) with President Prabowo at the Presidential Palace Complex, Jakarta, Wednesday, July 15.

In addition, Minister of Finance Purbaya also explained about Indonesia's debt position which has penetrated more than Rp. 8,000 trillion. Minister of Finance Purbaya said Indonesia's debt ratio is still in the range of 40 percent of gross domestic product.

The figure is below the 60 percent limit used in national fiscal rules. Purbaya also referred to the Maastricht Treaty criteria which use a debt ratio limit of 60 percent to gross domestic product.

According to him, Indonesia's ratio is still lower than that of a number of developed countries. Minister of Finance Purbaya said the United States' debt ratio had exceeded 100 percent, Singapore around 175 percent, and Japan reached 275 percent.