State Expenditure Absorbed IDR 490 Trillion In Three Months, Handling The Pandemic And Economic Recovery Are Still Priorities

JAKARTA - The government through the Ministry of Finance (Kemenkeu) reported that the realization of state spending during the first quarter of 2022 was IDR 490.6 trillion.

Minister of Finance Sri Mulyani said that the focus of budget absorption tends to be the same as spending in the previous year's period.

"The state budget is working hard through state spending to support programs to deal with COVID-19 and economic recovery," she said through a virtual channel when giving a press statement to reporters quoted on Thursday, April 21.

The Minister of Finance explained that the realization of IDR 490.6 trillion was equivalent to 18.1 percent of the provided budget ceiling.

"In detail, ministry/institutional expenditures reached IDR 150 trillion (15.9 percent of the State Budget or APBN), non-ministerial and non-institutional expenditures of IDR 164.2 trillion (16.4 percent of the APBN), and Transfers to Regions and Village Funds (TKDD) amounted to IDR 176.5 trillion," she said.

The state treasurer continued, at ministry/institutional posts it was used for payment of salaries and routine allowances, operational activities, program activities ranging from procurement of equipment and machinery, roads, networks, and distribution of various social assistances (bansos) to the community.

Meanwhile, the realization of non-ministerial and non-institutional expenditure items is directed to the distribution of energy subsidies, pension payments, and health insurance.

Then for TKDD, the realization is supported by regional compliance in conveying better channel requirements and the distribution of regular BOS funds for the 2022 FY phase I.

"On the other hand, for the investment financing factor, IDR 15 trillion has also been realized until April 14, 2022. This also supports government investment activities, both in the form of road construction through the State Asset Management Institution's BLU spending of IDR 10 trillion, as well as housing liquidity facilities of IDR 4 trillion, and the International Development Cooperation Fund Body of Public Service Agency (BLU LDKPI) of IDR 1 trillion," she explained.

The Minister of Finance himself emphasized that the APBN would continue to support strategic steps to spur economic recovery and accelerate the handling of the pandemic.

"Of course, don't forget to spend or finance activities that are a priority for development," concluded Minister of Finance Sri Mulyani.