"The size of the capital expenditure is small, but the absorption in percentage is better than last year," Mulyani stated at a media meeting in Nusa Dua, Bali, on Thursday.
Mulyani explained that the realization of this capital expenditure of 42 percent has been used for the construction of roads, irrigation, and networks; 33 percent for purchase of equipment and machinery; and 19 percent for building and other construction maintenance.
She estimated that the realization of capital expenditure at the end of the year could reach 90.9 percent due to the contribution of infrastructure development and improvement of other supporting facilities.
However, there are several reasons why capital expenditure in 2018 is not optimal. One reason is because of the potential expenditure of the Ministry of Defense, which is not absorbed, reaching Rp9.6 trillion.
They delay in capital expenditure was partly due to the purchase of KFX aircraft worth Rp3 trillion which was still blocked. There are activities worth Rp411.9 billion that have not been possible to be paid according to the recommendations of the Coordinating Minister for Politics and Security.
On this occasion, Sri Mulyani also explained the realization of employee expenditure, which had reached Rp315.2 trillion, or 86.2 percent of the ceiling of Rp33.7 trillion, and goods expenditure of Rp264.7 trillion, or 77.8 percent of the ceiling of Rp340.1 trillion.
For the expenditure of non-ministry Institutions, he added that the realization of energy subsidies had been recorded at Rp130.4 trillion, or 138 percent of the Rp94.5 trillion ceiling.
Energy subsidies include fuel and LPG subsidies of Rp84.3 trillion, or 179.8 percent of the Rp46.9 trillion ceiling, and electricity subsidies of Rp46.1 trillion, or 96.8 percent of the Rp47.7 trillion ceiling.
In the meantime, the realization of social assistance has approached the ceiling set in the APBN (state budget), which reached Rp73.4 trillion, or 90.3 percent of the ceiling of Rp81.3 trillion.
"The projection of social assistance until the end of 2018 can reach Rp85.6 trillion, or 105.3 percent of the ceiling. There was additional funding for disaster management and additional budget for the Third Family of Hope (PKH) program for new participants," she remarked.
Overall, the realization of central government expenditure up to Nov 30, 2018, was recorded at Rp1,225.3 trillion, or 84.2 percent of the ceiling of Rp1,454.5 trillion.
Reporting by Satyagraha
Editing by Fardah
(T.A014/A/KR-BSR/F001) 06-12-2018 17:55:10
Reporter: Antara
Editor: Andi Abdussalam
Copyright © ANTARA 2018
