TEMPO.CO, Jakarta - Economic observer, Faisal Basri, said that an increase in subsidized fuel price could cause the balance of trade to go surplus if it was carried out at the right time and amount. “Rp1,500 per liter is already enough,” he said at a discussion with the theme 'Is Subsidized Fuel a Solution or Problem' in Jakarta, on Sunday, September 7.
According to Faisal, the Susilo Bambang Yudhoyono government should increase subsidized fuel price this September. The increase of Rp1,800 per liter, he said, is an ideal amount, because that increase could save the budget by up to Rp55 trillion. “The other alternative is to increase subsidized fuel to Rp3,000 per liter, but in February, 2015,” he explained.
Faisal said the government should not increase the price in January, July and October, because inflation is high during those months. “The fuel issue is like a time bomb,” he commented.