The handling of health issue tops the list of priorities in the PEN (national economic recovery) program involving Rp172.84 trillion (the previous health budget ceiling)
Jakarta (ANTARA) - Finance Minister Sri Mulyani Indrawati has decided to increase the budget allocated to the health sector to Rp185.98 trillion from Rp172.84 trillion to support the enforcement of emergency public activity restrictions (PPKM).

The restrictions will be implemented from July 3 to July 20, 2021 to contain a recent surge in infections.

"The handling of health issue tops the list of priorities in the PEN (national economic recovery) program involving Rp172.84 trillion (the previous health budget ceiling). Given the present developments in the fields of therapeutic and diagnostic vaccination, budget needs for the handling of health issue will increase again to Rp185.98 trillion," Indrawati said at an online press conference in Jakarta on Friday.

The budget allocation for vaccinations has reached Rp58 trillion, while it stands at Rp69.1 trillion for treatments or therapeutics, comprising Rp40 trillion set aside for settling patient claims, Rp7.3 trillion for provision of incentives to the central government's healthcare workers, Rp8 trillion for provision of regional performance allowances (TKD), and Rp20.5 trillion for health taxation incentives, she said.

Meanwhile, Rp4.08 trillion has been spent on testing and tracing activities, Rp35.4 trillion for handling other health problems in regions, while Rp8.49 trillion has been allocated for other activities, including communication, national health insurance coverage, and activities of the National Disaster Mitigation Agency (BNPB), she added.

According to the minister, the government used 99 percent, or Rp14.53 trillion, of the budget ceiling to cover COVID-1 patient claims in 2020. The funds were used to settle 200,545 patient claims at 1,575 referral hospitals across Indonesia, she said.

"If you were among the 200,545 COVID-19 patients last year who were hospitalized and discharged for free, then it was the state budget that paid your hospital bills," Indrawati remarked.

As of June 24, 2021, the realization of payments has reached Rp10.5 trillion of the ceiling of Rp10.6 trillion, she said. The figure is projected to increase to Rp11.97 trillion in the second phase in 2021, she added.

The government has also paid Rp4.6 trillion for the provision of incentives and death compensation to healthcare workers in 2020, she informed. Since early 2021, the government has paid Rp1.34 trillion in arrears towards healthcare workers' incentives for 2020, she added.


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Translator: Kuntum KR/Suharto
Editor: Rahmad Nasution
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