National Development Planning Minister Attends Level I Discussion Meeting on the 2025 APBN Bill
Development News - Tue, 17 September 2024
The Minister of National Development Planning/Head of Bappenas, Suharso Monoarfa, attended a working meeting with the Budget Committee of the Indonesian House of Representatives (DPR) at the DPR Headquarters in Jakarta on Tuesday (17/9) to discuss the basic assumptions, revenues, deficit, and financing as part of the First Level Discussion/Debate on the 2025 State Budget Bill (RUU APBN) and its financial notes.
In the 2025 State Budget Bill, national revenue is set at IDR 3,005.12 trillion, consisting of tax revenues amounting to IDR 2,490.91 trillion and non-tax state revenues at IDR 513.64 trillion. Additionally, state expenditures are set at IDR 3,621.31 trillion, with central government spending at IDR 2,701.44 trillion. Central government spending is divided into IDR 1,094.55 trillion for ministries/agencies and IDR 1,606.78 trillion for non-ministerial/agency spending. Furthermore, the budget for transfers to regions is allocated at IDR 919.87 trillion.
Indonesia is targeting an economic growth of 5.3 percent to 5.6 percent in 2025, with a focus on enhancing competitiveness through commodity downstreaming and improving the investment climate. Although fluctuations were experienced due to geopolitical tensions, the prices of commodities such as crude oil, coal, and metals are showing a declining trend. This commodity price stability is expected to have a positive impact on Indonesia’s trade balance in the coming year. Additionally, Minister Suharso emphasized that Indonesia’s fiscal policy in 2025 will focus on inclusive and sustainable economic transformation. This includes job creation, improving the business climate, and accelerating infrastructure development across various regions, including national strategic projects such as the development of the new capital city (IKN).
The 2025 State Budget Bill, which has been approved by the DPR and the government, will next be brought to the Plenary Session for the Second Level Discussion, scheduled for Thursday (19/9). With the collaboration between the government and DPR, it is expected that the 2025 State Budget Bill will soon be enacted, providing the government with the foundation to implement its planned priority programs to support sustainable economic growth.
“The State Budget functions as a tool to regulate and limit large political ambitions, providing clear rationalization and boundaries. Through the State Budget, we can see our nation’s capabilities,” concluded Minister Suharso.