Remarks of President of the Republic of Indonesia at the Submission of Audit Result Reports for the 2021 Central Government Financial Report, at the Bogor Presidential Palace, West Java Province, June 23, 2022
Assalamu’alaikum warahmatullah wabarakatuh,
May peace be upon us all,
Greetings of virtue.
Distinguished Vice President of the Republic of Indonesia,
Distinguished Chairperson and Members of the BPK (Supreme Audit Agency),
Distinguished Ministers of the Indonesia Onward Cabinet and Heads of Government Agencies in attendance;
First of all, allow me to extend my gratitude to the BPK Chairperson and Executives for providing inputs and supports to us in tackling the pandemic during the past two years. The current and future challenges will become harder. We still have to face the situation which is full of uncertainty that forced us to remain vigilant.
The turbulence in global economic and political situation that has not recovered from the impact of COVID-19, exacerbated by a war in Ukraine that hampered supply chains, brought impacts to various sectors, brought economic impact to all, triggered high inflation in all countries. All countries are now facing a threat of food and energy crisis.
We should share similar understanding about this situation so that we can have the same sensitivity, the same feelings, to respond, to prepare appropriate responses and policies at all levels of state institutions, at all levels of government from the center to the regions.
We have to make the best use of our power, particularly the capability in domestic spending. We are aware that the Central Government has Rp526 trillion of budget, regional governments have Rp535 trillion, and State-owned Enterprises (SOEs) have Rp420 trillion. It is an enormous amount of money to spend for domestic products. As I have mentioned many times before, it will bring significant impacts to speed up the ongoing recovery measures that we are implementing.
We must work hard and non-stop to create value-added for the economy through down-streaming in the industry, from mining to food industry. We develop processing industry that produces raw materials into semi-finished goods or into finished goods, if possible. It creates multiplier effects not only to the value but also labor absorption and open as many as jobs as possible.
For that reason, I order Ministers, Heads of Agencies, Regional Heads to have the same understanding, sensitivity about the situation and take any necessary actions immediately. Thus, we can make the best use of our potentials and speed up the ongoing recovery measures.
Distinguished Ladies and Gentlemen,
The Government continues to make measures to improve its financial management and make it more effective and inclusive. We continue to adopt programs by taking into account a good financial management. We believe that a good management can improve the effectiveness of risk management and support a target achievement of the programs.
Alhamdulillah, praise be to God; as previously mentioned by the Chairperson that the BPK has given an Unqualified Opinion for the audit result reports of the 2021 Central Government Financial Report (LKPP). The grade is an excellent achievement amid a tough situation in 2021. The reports will serve as a basis for the Government to continue making further improvements. The Government will follow up the points mentioned by the Chairperson about the findings of BPK, and improve our lacks particularly that related to internal control system and non-compliance with laws and regulations which affected the result of the 2021 LKPP. Therefore, the improvements will make our financial management better in the future.
Unqualified opinion is not the end goal; the goal is to make us able to use the people’s money wisely, instead. How we be able to manage and make the best use of it in a transparent and accountable manner so it will bring direct benefit to the people. Lastly, I would like to thank the BPK for providing inputs and supports to the state financial management. We have been working together to manifest an accountable and transparent state financial management which is more effective and trustworthy.
That concludes my remarks on this auspicious occasion.
I thank you.
Wassalamu’alaikum warahmatullahi wabarakatuh.