Minister Tells Regional Governments to Speed Up Realization of 2021 Regional Budget Expenditure

Minister of Home Affairs (23/11/2021). (Photo by: PR of Cabinet Secretariat/Agung)

Minister of Home Affairs Muhammad Tito Karnavian called on regional governments to speed up the realization of the regional budget expenditure in the 2021 fiscal year.

According to Tito, more than Rp700 trillion sourced from the Central Government’s budget is transferred to regional governments and regional governments also have fiscal space both from regional income and other incomes that are in accordance with the regulations.

For the record, President Joko “Jokowi” Widodo during the Plenary Cabinet Meeting has appealed to his ranks to realize both regional budget and state budget expenditure in order to support national economic growth.

During a virtual Coordination Meeting on Evaluation of the 2021 Regional Budget Expenditure on Monday (22/11/2021), Tito said that regional expenditure can affect the increase in money

circulation, community’s purchasing power, and household consumption. Regional budget expenditure, he continued, can also stimulate private sectors affected by COVID-19 pandemic.

In addition to the regional budget expenditure, the realization also aims to support national economic growth so that five percent of the growth can be achieved in the end of 2021. Thus, Tito added that support from all components, stakeholders, specifically regional governments through the realization of the regional budget expenditure is needed.

Furthermore, the Minister ordered regional leaders to hold coordination meeting with their ranks in order to evaluate whether or not there is a program that can be immediately realized. It is also needed, he continued, for Governors as the Central Government’s representatives to hold coordination meeting with Regents and Mayors in their respective regions.

Data from Ministry of Home Affairs’ Directorate General of Regional Finance shows that as of 19 November 2021, the realization of 2021 regional budget expenditure at the provincial level has reached 65.12 percent, at the regency level reached 61.15 percent, and at the municipal level reached 59.08 percent. (PR of Ministry of Home Affairs/UN) (AP/MUR)