{"id":191917,"date":"2020-06-04T09:22:20","date_gmt":"2020-06-04T02:22:20","guid":{"rendered":"https:\/\/setkab.go.id\/?p=191917"},"modified":"2020-06-04T09:22:20","modified_gmt":"2020-06-04T02:22:20","slug":"introductory-remarks-of-president-of-the-republic-of-indonesia-at-limited-cabinet-meeting-through-video-conference-on-national-economic-recovery-program-and-changes-in-the-2020-state-budget-structu","status":"publish","type":"post","link":"https:\/\/setkab.go.id\/en\/introductory-remarks-of-president-of-the-republic-of-indonesia-at-limited-cabinet-meeting-through-video-conference-on-national-economic-recovery-program-and-changes-in-the-2020-state-budget-structu\/","title":{"rendered":"Introductory Remarks of President of the Republic of Indonesia At Limited Cabinet Meeting (Through Video Conference) on National Economic Recovery Program and Changes in the 2020 State Budget Structure Wednesday, 3 June 2020, at the Merdeka Palace, Jakarta"},"content":{"rendered":"

Bismillahirrahmanirrahim.
\nAssalamu\u2019alaikum warahmatullahi wabarakatuh.<\/em><\/p>\n

Distinguished Vice President,<\/p>\n

Ladies and Gentlemen,<\/p>\n

In the Limited Cabinet Meeting this morning we will discuss the national economic recovery program and changes in the State Budget structure for 2020.<\/p>\n

There are several things that I want to emphasize. First, our biggest challenge right now is to prepare an appropriate economic recovery program. It should be implemented quickly, with speed, so that the pace of economic growth in our country is not corrected any deeper. We know that in the first quarter, our economy was only able to grow 2.97 percent and in the second, third and fourth quarters, we must be able to ensure that the rate of economic growth does not decline any further, or reach minus growth. We hope that we can slowly start to rebound. To that end, all schemes of economic recovery programs that have been designed such as interest subsidies for MSMEs, placement of funds for banks affected by restructuring, guarantee for working capital loans, state capital injection (PMN) for State-Owned Enterprises, and Government investment in working capital, must be immediately implemented.<\/p>\n

Second, national economic recovery program should provide tangible benefit for businesses, especially labor-intensive industrial sectors so that they remain able to operate. This is important to prevent massive layoffs and to maintain purchasing power of the workers and employees. The labor-intensive industry should be supported. Be careful, because labor-intensive industries absorb a large number of workforces and any pressure for this sector will have an impact on workers and of course on their families\u2019 economy.<\/p>\n

Third, I ask for the concept of burden sharing, once again, I ask for the concept of burden sharing. \u201cSharing the pain\u201d must be a common framework between the Government, BI, OJK, banks, and business sectors. We must be truly committed to sharing the burden, working together, sharing the risk proportionally and upholding the principle of prudence so that businesses and corporations can still be able to operate, massive layoffs can be prevented, financial sector remains stable, and of course the the economic cycle can be maintained.<\/p>\n

Fourth, I remind you that the economic recovery program must be carried out in a careful, transparent, and accountable manner and moral hazard should be prevented. This is very important. To that end, I ask the Attorney General, the BPKP, the LKPP to assist. If needed, the KPK can also be involved to strengthen the prevention system. This is important.<\/p>\n

Fifth, related to changes in the State Budget structure in 2020, I got a report stating that various developments in handling COVID-19 and various strategic measures for economic recovery have the consequence of additional spending which has implications for increasing the State Budget deficit. Therefore, I also ask Coordinating Minister for the Economy, Minister of Finance, Minister of National Development Planning\/Head of the Bappenas to make more careful and more detailed calculations of our various fiscal risks in the future. I want to reemphasize that the changes in the State Budget structure should be carried out in a careful, transparent, and accountable manner so that the 2020 State Budget can be maintained, can be trusted, and remains credible.<\/p>\n

I think that concludes my introductory remarks for this meeting.<\/p>\n

Translated by Ridwan Ibadurrohman
\nReviewed by Lulu Wuliarti<\/p>\n","protected":false},"excerpt":{"rendered":"

Bismillahirrahmanirrahim. Assalamu\u2019alaikum warahmatullahi wabarakatuh. Distinguished Vice President, Ladies and Gentlemen, In the Limited Cabinet Meeting this morning we will discuss the national economic recovery program and changes in the State Budget structure for 2020. There are several things that I want to emphasize. 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