Didik J. Rachbini, an economist of the Institute for Development of Economics and Finance Indonesia (INDEF) said here on Tuesday that in the Soeharto era, the State Budget of no more than Rp100 trillion could develop infrastructures such as dams and fertilizer plants as well as buy Palapa Satellite.
The current APBN, however, did not have leadership economic politically and no clear priorities in its implementation.
"This (APBN) has no leadership and is torn apart, due to the absence of leadership so there is no strategy," Didik said in a dialog.
The present State Budget, according to Didik, is like a vehicle having full-tank fuel but does not have a strategy to reach a certain destination, so the passengers would never arrive in a city they want to go.
"Yes, it`s like we have a car with full gasoline, and we want to go from Jakarta to Bandung, but we don`t have a strategy. So we waste the fuel as we take the car running around and the car`s fuel tank is even leaking. Of course, in such condition, we will never reach Bandung. That`s a rough description of our APBN, so our APBN is really weak," he said.
He said the state budget reaching about Rp1,320 trillion failed to improve the people`s welfare and was not effective.
Actually, the State Budget should be limited, and therefore it must have main priorities as the locomotive.
"If we have the strategy, we could decide the priorities. It`s impossible that with little water, we want to plant chili, this and that, no way. We can look at England, they focused on railways, and in the middle there are seaports, properties, while we are not focused, therefore the APBN is torn apart," he said.
Another speaker during the dialog, Chief of the Fiscal Policy Agency (BKF) Bambang Permadi Soemantri Brojonegoro said in one hand, the State Budget is very promsing, but on the other hand, quality wise the State Budget needs improvement.
He pointed out that the total subsidies, including subsidy for energy and non-energy, in the Amended State Budget (APBNP) which was above Rp230 trillion, was considered having no significant impacts, and the people even felt that the life was still difficult.
"For sure, the subsidies being applied so far have missed the right target, because it subsidizes price premium gasoline so that many people who are not supposed to be eligible, have also enjoyed the subsidy, they are quite numerous," Bambang said.
(Uu.F001/HAJM)
Editor: Priyambodo RH
Copyright © ANTARA 2011
