"We urge the local governments to increase the budget absorption target in their respective areas," Hasan stated here in a press release received here on Wednesday.
According to Hasan, if the government increases the budget absorption, it will help to improve the economy in the local regions.
He cited the example of Jakarta whose budget absorption was still at about 18 percent.
The absorption of a larger budget will boost economic growth and generate job opportunities for the local people, he noted.
Hasan also confirmed that the regional heads should not be afraid to use the budget to develop their regions.
Earlier, the government had vowed to improve the management of the state budget (APBN) as recommended by the House of Representatives (DPR), Finance Minister Bambang Brojonegoro remarked.
"In line with the recommendations of the DPR, the government will work to improve the management of the APBN," he stated after a plenary meeting with the DPR on Tuesday.
The plenary meeting discussed the decision-making process with regard to the bill on the accountability of the 2014 state budget.
The DPR had made several recommendations to the government to improve the management of the APBN.
"The government will take into account the recommendations put forth by the DPR while implementing the APBN," the minister noted while delivering the governments final views at the meeting.
The plenary meeting was led by the DPR deputy chairman, who agreed with the governments accountability for the 2014 state budget.