This was conveyed by Sugiarto at the "Meeting on Spending Efficiency in the 2025 State Budget and Regional Budget" in Medan, North Sumatra, on Friday.
According to him, the effort will indirectly bolster the bureaucratic reforms carried out by the government so far.
The efficiency policy, which among other things, will affect budget transfers to regions, will essentially not reduce the benefits that the community enjoys.
This is because the policy has been devised to carry out the priority programs that will eventually benefit the people.
He affirmed that the efficiency in transfers to regions will be adjusted by paying attention to the interests of underdeveloped regions.
For island regions, for example, the government will pay close attention to the implementation of priority programs there. This is in line with the commitment of the Ministry of Finance.
Furthermore, Sugiarto underscored that the success of policies and programs initiated by the government requires support from regional governments.
In this context, he said that currently, the Ministry of Home Affairs is preparing supporting regulations on technical instructions and guidelines for the implementation of efficiency in regions.
At the meeting, he also reminded that several adjustments related to policies need to be implemented quickly.
Presidential Instruction Number 1 of 2025 requires that the government budget in the state and regional budgets for 2025 be reduced by Rp306.69 trillion.
Ministries and agencies have been asked to slash their budget by Rp256.1 trillion, while transfers to regions will need to be cut by Rp50.59 trillion.
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Translator: Narda Margaretha, Raka Adji
Editor: Azis Kurmala
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