President orders expedited realization of state, regional budgets

President orders expedited realization of state, regional budgets

President Joko Widodo (Jokowi) chaired a plenary cabinet meeting at the Presidential Office in Jakarta on Wednesday (November 17, 2021). (ANTARA/BPMI Setpres/Kris/pri)

I ask the home affairs minister to look at APBD, whose budget absorption is relatively low, and to pay attention to it. Assure them (regional heads) that APBD (realization) is important for our economic growth
Jakarta (ANTARA) - President Joko Widodo (Jokowi) has ordered the expedited realization of the state (APBN) and regional budgets (APBD) in order to provide economic stimulus to the public.

“This month is November 2021 and we will soon enter December 2021. Expedite the realization of APBN and APBD. When it comes to APBN, ministries/non-ministerial government institutions must stay focused on expediting its realization,” Widodo said at a cabinet plenary at the Presidential Office in Jakarta on Wednesday.

He further asked Home Affairs Minister Tito Karnavian to monitor the realization of APBD. The home affairs minister must convince regional heads that the realization of APBD is crucial to boost economic activities, particularly in the regions concerned, Widodo said.


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“I ask the home affairs minister to look at APBD, whose budget absorption is relatively low, and to pay attention to it. Assure them (regional heads) that APBD (realization) is important for our economic growth,” the President said.

Citing an example, he said the realization of social protection funds has only reached 77 percent of the budget execution list (DIPA), the budget realization under the labor-intensive program has only reached 77 percent, while the realization of assistance to support MSMEs and corporations has only touched 60 percent.

The government has set the economic growth target for 2021 at 3.7–4.5 percent year on year (yoy) despite the COVID-19 pandemic. It has set state spending under APBN 2021 at Rp2,750 trillion and state revenues at Rp1,743,6 trillion.

Economic growth slowed to 3.51 percent year on year in the third quarter of 2021 compared to 7.07 percent yoy in the previous quarter due to the enforcement of public activity restrictions (PPKM), officials said.


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