Sri Mulyani: There's More to APBN than Just Debt and Tax

TEMPO.CO, Jakarta - Finance Minister Sri Mulyani urged people to look into the complete performance of Indonesia’s State Budget (APBN) and not think that the government solely funds the country through tax collection and debts.

“Don’t think as if you completely understand the State Budget (APBN), as if the government only collects tax or debts that burden the population. It’s not as simple as that. It is much more complex than that,” said Sri Mulyani as a speaker in the DBS Asian Insights Conference held at Hotel Mulia today, Jan. 31.

Elements that help fund the country, she explained, other than tax collections and debt instrument is through government partnerships and business entities scheme (KPBU) that have financed Indonesia’s infrastructure developments and social welfare.

The issue of tax and debts, especially tax ratio, became the current hot topic after presidential candidate No.2 Prabowo Subianto mentioned it in the first presidential debate. Former coordinating minister for economic affairs Rizal Ramli also had his share on Tweeting about this issue.

The government’s KPBU scheme was claimed to have funded 17 projects with 3 operable ones and 11 projects that are under construction. “This scheme is able to generate investments of up to Rp 165 trillion,” said Sri Mulyani.

DIAS PRASONGKO