"This is very useful for support, convenience, speed, and relief through incentives totalling Rp1.79 trillion for the procurement of medical devices issued from the customs and taxation side," Askolani stated during a Hearing Meeting (RDP) with Commission XI of the House of Representatives, Monday.
The incentive is given for the import of medical equipment, with a total value of Rp9.17 trillion. Most of the imported medical devices are PCR test kits, COVID-19 antiviral drugs, and ventilators.
The government also provides incentive for imports of COVID-19 vaccines of up to Rp8.33 trillion. This incentive was given for imports of 465.07 million doses of vaccine worth Rp44.08 trillion, comprising 311.17 million doses of finished vaccine and 153.90 million doses of bulk vaccine.
"From the customs side, we have incentive support for bonded zones and KITE (Ease of Import for Export Destinations) that are sufficient at a minimum of only Rp7.68 billion," he noted.
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Although the amount is small, this value has helped business actors in the region to import medical equipment to participate in handling COVID-19 and restoring the national economy.
Meanwhile, the Director General of Customs and Excise noted that in 2021, the import duty receipts reached Rp38.89 trillion, or 117.23 percent of the target of the 2021 State Budget. This import duty revenue also grew by 19.87 percent as compared to the revenue in 2020.
Overall, customs and excise revenues in 2021 reached Rp268.98 trillion, growing 26.26 percent as compared to the previous year.
The budget for the national economic recovery program (PEN) has been increased to Rp455.62 trillion, or about US$31.7 billion, for 2022, Finance Minister Sri Mulyani Indrawati earlier stated.
"This indicates PEN has been included in the 2022 state budget," she remarked.
According to Indrawati, the budget has been apportioned for three sectors: Rp122.5 trillion for health, Rp154.8 trillion for social protection, and Rp178.3 trillion for economic recovery consolidation.
The health budget will focus on vaccine supplies and treatment of coronavirus patients, which is still generating considerable hospital bills, she noted.
Moreover, due to the emergence of the Delta variant of COVID-19, the spending budget for patient care had reached Rp94 trillion in 2021, and Rp23 trillion in bills had yet to be paid in 2022, the minister informed.
"The health sector, especially in (patient) treatment, is under budget because once there is an increase in COVID-19 (cases), its (budget spending) realization would be higher," Mulyani explained.
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Translator: Sanya D, Azis Kurmala
Editor: Rahmad Nasution
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