The President made the statement in his state-of-the nation address on the Draft 2012 State Budget and Financial Note at a plenary session of the House of Representatives (DPR) here on Tuesday.
He said that based on the estimate of global and domestic economic development, the target and macro economic assumptions --which the government used as a base to formulate its working plan (RKP) in 2012 and as the base for the formulation of the draft state budget-- were economic growth assumption at 6.7 percent, inflation at 5.3 percent, 3 month state debenture (SPN) interest rate at 6.5 percent, rupiah exchange rate at Rp8,800 against the US dollar, oil price at 90 US dollars per barrel and oil lifting at 950,000 barrels per day.
Assumptions set in the 2011 revised state budget were inflation at 5.7 percent, Rupiah exchange rate at 8,700 per US dollar, oil price at 95 US dollars per barrel and oil lifting at 945,000 barrels per day.
In his address, the president also indicated that the country`s revenues and grant were set at Rp1,292.9 trillion, or up 10.5 percent from the 2011 revised state budget at Rp1,169.9 trillion.
In the meantime, the state expenditures were set at Rp1,418.5 trillion, up 97.7 trillion or 7.4 percent from the 2011 revised state budget which was set at 1,320.8 trillion.
Thus, the draft state budget deficit for 2012 was at Rp125.6 trillion, or 1.5 percent of the Gross Domestic Product (GDP) or lower than the deficit of the 2011 revised state budget which was set at Rp150.9 trillion.
"We are thankful that we are still able to control deficit and maintain fiscal resilience at a time when a number of countries in Europe underwent fiscal and government debt crisis as a result of the increase in their deficit which reached over 10 percent of their GDP," the president said.
In the draft 2012 state budget, state revenues are dominated by tax receipt worth Rp1,019.3 trillion or 79 percent of the state`s total revenues and grant, so that the ratio of tax receipt against the GDP was 12.6 percent or up from 12.2 percent.
The country`s non-tax receipts were set at Rp272.7 trillion.
The state expenditures were set at Rp1,418.5 trillion with allocations for ministries and state institutions expenditures amounting to Rp476.6 trillion, for non-ministries and institutions to Rp477.6 trillion and for transfer to the regions amounting to Rp464.4 trillion.
(Uu.A014/HAJM/B003).
Editor: Priyambodo RH
Copyright © ANTARA 2011
