Sri Mulyani Blocks K/L Budget Of IDR 50.12 Trillion In 2024, Here Are The Details

Minister of Finance Sri Mulyani (Photo: Antara)

JAKARTA - The government has again decided to continue the automatic adjustment policy or the Ministry/Institutional expenditure reserves (KL) to be temporarily blocked in the implementation of the 2024 State Revenue and Expenditure Budget (APBN).

The policy is in accordance with the direction of the President of the Republic of Indonesia in handing over the Budget Implementation List for the 2024 Fiscal Year and taking into account global geopolitical conditions, so it is deemed necessary to continue the Automatic Adjustment policy in the implementation of the 2024 FY State Revenue and Expenditure Budget.

This policy is contained in the Letter of the Minister of Finance Number S-182/MK.02/2023. The automatic adjustment policy for ministry/institution spending for the 2024 fiscal year is set at IDR 50.14 trillion.

Meanwhile, the provisions in the automatic adjustment policy for the 2024 Fiscal Year come from pure rupiah.

Activities that are prioritized for automatic adjustment, as follows, Efficient, non-urgent or delayed goods expenditure, include those from 10 goods expenditure accounts, namely honorarium (521115 and 521213), official travel (5241111, 524113, 524211, and 524219), meeting packages (524114 and 5241119), other operational goods expenditures (521119), and other non-operational goods expenditures (521219).

Second, an efficient capital expenditure, not urgent or deceleration. Third, activities that are currently blocked (recording page IV A DIPA) and are not expected to be fulfilled by the supporting documents until the end of Semester I FY 2024.

The budget that is excluded from the Automatic Adjustment policy for the following activities is social assistance which includes Contribution Assistance Recipients (PBI) for Health Insurance, Family Hope Program, and Basic Food Cards.

Furthermore, spending related to the stages of the General Election, spending related to IKN, spending on payment of Contracts for the Year of the Year, spending on payment of service availability (Availability Payment/AP), spending on the New Autonomy Region (4 Provinces)/New Ministries/Institutions, and Shopping to support increased rice and corn production.

Meanwhile, the mechanism for implementing the Automatic Adjustment Expenditure for K/L FY 2024, as follows: Ministries/Institutions propose Activities/KRO/RO/accounts that will be blocked on page IV A DIPA records in accordance with the Automatic Adjustment amount of each Ministry/Institution as attached and marked by choosing code 9 in the SAKTI application.

Next, the proposal as stated in the letter a above, is carried out through a budget revision mechanism, as regulated in the Minister of Finance Regulation Number 62/PMK.02/2023 concerning Budget Planning, Budget Implementation, and Financial Accounting and Reporting. The proposal letter for the revision of the Automatic Adjusment is submitted to the Director General of Budget no later than January 26, 2024.

With regard to these things above, if until January 26, 2024, the Ministry/Institution has not yet proposed a revision as referred to in the 4 letter b, then the Ministry of Finance cq. The Directorate General of Budget independently will include it in the records of page IV A DIPA with the amount according to the attachment.

Furthermore, if there is a priority need, the Ministry/Institution can propose relaxation of Automatic Adjustment in Semester II in 2024 through a revised mechanism as stipulated in the Minister of Finance Regulation Number 62/PMK.02/2023 concerning Budget Planning, Budget Implementation, and Accounting and Financial Reporting.

For information, in 2023 the government will also implement an automatic adjustment of K/L expenditure for the 2023 fiscal year of IDR 50.23 trillion. This comes from spending on K/L in the form of pure rupiah by taking into account the performance of budget realization during the last three years of the 2020-2022 fiscal year.