"Between June and July we will revise the assumed oil price at the national budget. We will revise the assumed price of oil, oil lifting and volume of oil consumption then," acting chief of the ministry`s fiscal policy board (BKF) Bambang Brodjonegoro said.
He said the government would keep monitoring the situation in Libya as it has shown no improvements so far to affect the world oil price stability.
"What is happening in Libya is actually temporary in nature. But that it has now dragged on it is beyond our expectation. So we will keep monitoring it," he said.
Bambang said not all assumptions in the national budget will be changed as changes would only happen on those relating to oil.
"Not all assumptions will be revised. Only the ones which are related to oil. The revision we are going to do is in its good sense not the negative one," he said.
Apart from that he said it was possible that the rupiah exchange rate against the US dollar set at Rp9,250 in the budget would also be revised in view of the strengthening of the rupiah in the past three months.
"The exchange rate will certainly be revised. Actually good things have also happened namely the rupiah appreciation. So it will be revised from Rp9,250 to a stronger one or lower than that. We will see later how far it would go. We will see until May. To me the safest one is at Rp9,000," he said.
Bambang assured that the revision would be done in the middle of the year with consideration on the economic conditions in the next two to three months.
"What is certain is there will be budget revision. It will be in the middle of the year or in July at the earliest," he said.
Right now the basic assumptions agreed upon for the 2011 budget are 6.4 percent for economic growth, 5.3 percent for the inflation rate, Rp9,250 for the rupiah exchange rate against the greenback, 6.5 percent for the three-month Bank Indonesia Certificate, US$80 for the price of oil per barrel, 970,000 barrels for the oil lifting per day and Rp7,019 trillion for the Gross Domestic Product. (*)
H-YH/HAJM/S012
Editor: Jafar M Sidik
Copyright © ANTARA 2011
