According to him, disaster management actually had a neutral to positive effect, despite causing losses in the affected areas.
"It can actually provide a small boost. There are losses there, but there's housing development and other things. That will create additional economic growth," he remarked when met at the Presidential Palace Complex, Jakarta, Monday.
Purbaya explained that reconstruction activities, such as housing and various infrastructure projects, will be able to stimulate economic growth in the regions.
Regarding post-disaster reconstruction, the minister said that additional funds are allocated across regions, helping ensure that the impact on economic growth remains limited.
Furthermore, his office is encouraging the use of existing schemes, such as local government loans, from PT Sarana Multi Infrastruktur for the reconstruction of damaged infrastructure, including bridges and roads.
Purbaya then conveyed his readiness to provide relief, including the possibility of waiving obligations if infrastructure is damaged or destroyed by a disaster.
The minister also confirmed that the disaster management budget, including the construction of temporary and permanent housing for affected residents, is available.
The budget is provided through the National Disaster Mitigation Agency (BNPB), and is considered adequate, with room for additional allocations if required.
BNPB has proposed an additional budget of Rp1.6 trillion (US$93 million), with approximately Rp1.3 trillion (US$75,7 million) remaining available.
Earlier, during his visit to the evacuation post on December 12, President Prabowo Subianto ensured that the government had prepared a budget for the construction of both temporary and permanent housing for victims affected by the flash floods in Aceh, North Sumatra, and West Sumatra.
“There will be temporary housing and permanent housing that we have already planned. The budget has been allocated, but it will take time," he noted.
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Translator: Maria Cicilia/Fathur Rochman, Resinta S
Editor: Arie Novarina
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