The Ministry of Finance continues its efforts to support the governments of President Joko Widodo and Vice President Ma'ruf Amin in achieving five priority programs aimed at structural reforms in Indonesia.
The five priority programs for structural reform include the development of Human Resources, infrastructure, simplification of regulations, simplification of the bureaucracy, and economic transformation.
"In one year of President Joko Widodo and Vice President Ma'ruf Amin's administration, the Ministry of Finance continues to strive to jointly guard the government's performance towards an advanced Indonesia," an official statement from the Ministry of Finance received in Jakarta, Friday.
Ministry of Finance also strives to maintain domestic stability by maintaining consumption as the main engine of economic growth and increasing competitiveness to increase investment and exports.
Then also carry out structural reforms and maintain economic-political stability and improve the quality of human resources as economic actors.
Meanwhile, during the COVID-19 pandemic, the Ministry of Finance continued to be responsive to domestic and global economic developments by using fiscal policies, including refocusing and budget reallocation and providing economic stimulus.
"Several policies issued by the Ministry of Finance in the fiscal sector are the government's efforts to continue to protect the public and the business world in the midst of pressure due to the pandemic," he wrote.
Refocusing and reallocation of the 2020 State Budget in Ministries/Institutions (K/L) and local governments are carried out so that the State Budget and Regional Budget can focus on efforts to prevent and manage its impacts.
"As much as Rp190 trillion in expenditure was saved and Rp. 55 trillion was reallocated," he wrote.
From this refocusing and reallocation, the government can provide various stimuli, such as in February 2020 through a budget of IDR 8.5 trillion aimed at strengthening the domestic economy.
This strengthening of the domestic economy was carried out by accelerating state expenditures and encouraging labor-intensive spending policies and sectoral fiscal stimuli for affected industries.
Furthermore, the provision of the second stimulus in March 2020 with a budget of Rp. 22.5 trillion, which is focused on supporting people's purchasing power and encouraging the ease of export and import.
Stimulus III in March 2020 amounting to IDR 405.1 trillion, which is budgeted for public health and social protection and financial system stability through the two pillars of Government Regulation No.1 of 2020.
The two pillars are considered important because they are related to public finance policies for health, social safety nets, support for MSMEs, and the business world and financial sector policies.
The last is the expansion of stimulus III with a budget of Rp.695.2 trillion or the equivalent of 4.2 percent of GDP, which is allocated for two major categories, health Rp. 87.55 trillion and economic recovery Rp. 607.65 trillion. (Antaranews)