Minister of Finance Sri Mulyani Indrawati explained that government spending in the 2021 State Budget is one focus on restoring the economy and society from the impact of the pandemic, including free COVID-19 vaccination.
"In 2021, we will use fiscal instruments as a catalyst and driver for the national economic recovery to speed up further," Sri Mulyani said in the 2021 Indonesian Economic Outlook in Jakarta, Tuesday.
The minister explained that in 2021, state spending will reach IDR2,750 trillion, including central government spending reaching IDR 1,954 trillion with a deficit projected to reach 5.7 percent of gross domestic product (GDP).
The 2021 strategic policies include education with a budget allocation of IDR 550 trillion, one of which is to support education reform, including still providing internet support for students, students, and teachers.
For health, she continued, the government has allocated IDR 169.7 trillion which does not include the budget not absorbed in the 2020 national economic recovery program (PEN), which is estimated to reach IDR 32-34 trillion.
The social protection budget is also still large with an allocation of Rp. 408.8 trillion, then the budget for food security reaches Rp. 99 trillion to boost food productivity through the revitalization of the food system and food estate.
The government will also continue infrastructure development, which was previously delayed in 2020 due to the pandemic, with a budget allocation of IDR 417.8 trillion.
The minister emphasized that even though the infrastructure budget is larger than health, the government remains focused on handling the pandemic.
"We guarantee that all health measures with good governance can still carry out all policies to restore economic recovery through the prerequisites for effective handling of COVID and supported by aspects of public health," she added.
The government also pays attention to the tourism sector which is most affected by the corona with an allocation of Rp. 14.2 trillion which is directed at restoring tourism, including supporting the transportation sector.
Expenditures in the information and communication technology sector are also budgeted to reach Rp. 26 trillion.
"We hope that in 2021 we will be able to handle COVID in a much better, more effective manner and that the economic recovery in 2021 can be accelerated," Sri Mulyani added. (antaranews)