After The DPR, Sri Mulyani Explains The 2021 State Budget Accountability Bill To The DPD

Minister of Finance working meeting with DPD RI (Photo: screenshot of DPD Youtube)

JAKARTA – Minister of Finance (Minister of Finance) Sri Mulyani revealed that the journey for the 2021 period was filled with various dynamics, mainly due to the COVID-19 delta variant that affected many sectors.

For example, the government must increase the budget allocation for PC-PEN from around Rp. 699 trillion to Rp. 744 trillion. This condition then resulted in an increase in state spending from the previous IDR 2,750 trillion in the 2021 APBN to IDR 2,786.4 trillion in the Central Government Financial Report (LKPP).

"In the midst of an unpredictable situation, state spending remains on track, managed in a disciplined manner and optimized so that it can handle COVID-19 and support the recovery of the central and regional economies," he said in a meeting with the DPD RI at the Senayan Parliament Complex, Jakarta on Thursday, August 25.

Although spending recorded an increase, the state revenue sector was able to offset the need for funds by posting higher-than-target revenues. It was stated that the 2021 APBN was aiming for a total revenue of IDR 1,743.6 trillion. However, the realization until the close of the year reached Rp2,011,3 trillion.

“State income exceeded the target of 115 trillion, which was supported by tax revenues as the economic recovery continued. Then, there is also a trend of increasing commodity prices and non-tax state revenues (PNBP) which are growing positively in ministries/agencies," he said.

These results made the budget deficit condition smaller with the realization of Rp. 775 trillion or 4.57 percent of GDP from the previous Rp. 1.006 trillion in the APBN.

"The need for budget financing has decreased sharply in line with the improvement in state budget revenues and optimization of the use of SAL (excess budget balance)," he stressed.

Previously, the Minister of Finance had given an explanation regarding the 2021 State Budget Accountability Bill to the DPR some time ago.