Finance Minister: State Revenue Performance Surges by 37.7 Percent in February 2022

Minister of Finance (Photo by: PR of Cabinet Secretary/Jay)

As of February 2022, the realization of state revenue and grant has reached Rp302.42 trillion or 16.38 percent of the 2022 State Budget target, showing that the performance of state revenue, namely tax, customs, excise, and non-tax state revenue (PNBP), continues to improve.

“Compared to last year with the Rp219 trillion realization in February, this is a 37.7 percent increase,” Minister of Finance Sri Mulyani Indrawari said during the virtual press conference of the State Budget Performance and Facts of March 2022 edition, Monday (03/28).

By the end of February 2022, tax revenue amounted to Rp199.4 trillion or grew by 36.5 percent, reaching 15.77 percent of the 2022 State Budget target. The growth is supported by the economic recovery of expanding industries, commodity price development, and export-import performance.

Cumulatively, the majority of main tax types recorded a positive and better growth than that of the same period in 2021. Meanwhile, based on monthly growth, several types of taxes saw a contraction due to the shift in payment record and no repetition of transactions in the previous year, such as tax assessment payment.

Furthermore, the cumulative sectoral revenue of all types of businesses grew positively although it slowed down compared to the period of January 2022. The mining sector still recorded the highest growth bolstered by the increase in coal prices and the processing industry remains the biggest contributor to tax revenue with 29.1 percent.

Meanwhile, the revenue from excise and customs was Rp56.7 trillion or 23.3 percent of the State Budget target in the end of February 2022, which shows a significant growth of 59.3 percent, supported by import duty, export duty, and excise.

The revenue from import duty amounted to Rp6.8 trillion or grew by 37.1 percent, supported by the improvement in national import performance. Export duty revenue was Rp6.6 trillion or rose by 176.8 percent, supported by increasing commodity prices and copper export volume.

Meanwhile, excise revenue amounted to Rp43.4 trillion or rose by 53.3 percent, affected by the implementation of excise regulations and monitoring effectiveness, public activity restrictions (PPKM) relaxation, and improvement of the hospitality and tourism sector.

Finally, state revenue is also bolstered by the PNBP realization that reached Rp46.2 trillion or 13.8 percent of the 2022 State Budget target in February 2022. The PNBP grew positively by 22.55 percent, mainly supported by revenue from natural resources, including oil and gas as well as non-oil and gas, and public service agencies.

“So, the state revenue illustrates that, first, economic recovery is quite strong and evident across several sectors and tax types and revenues. Second, the surging global commodity process also gave contribution,” she remarked.  (PR of Ministry of Finance/UN) (DH/MUR)

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