Realization of Budget Reaches 63.23%, Ministry of Social Affairs Pushes Economic Turnover

JAKARTA (July 10, 2020) - The Ministry of Social Affairs recorded an impressive budget realization. The calculation per Thursday (09/07), of the total FY2020 Budget Ceiling of IDR 104.45 trillion, the realization of the budget has reached IDR 66.04 trillion or 63.23%.

Guiding and following President Joko Widodo's direction, the Ministry of Social Affairs budget realization covers all types of expenditure. Among them, goods expenditure was 38.85%, capital expenditure was 37.88%, Head Office Authority was 63.53%, Social assistance expenditure was 64.23%, and other expenditures.

With the expenditure realization of the total budget ceiling for the 2020 Fiscal Year of 63.23%, placing the Ministry of Social Affairs in the first position of all Ministries / Institutions spending and far above the average national budget realization, which was 39%.

"In accordance with the direction of the President, the acceleration of the realization of government spending is the key to the movement of the economic wheel in the midst of a slowing pandemic. Therefore, I always encourage the ranks of the Ministry of Social Affairs to continue to accelerate spending, in each work unit, ”said Social Affairs Minister Juliari P. Batubara in Jakarta (09/07/2020).

Among the various types of spending, of course spending on social assistance (bansos) is the most effective way to increase people's purchasing power. "Due to cash social assistance, for example, the funds are directly received by the beneficiary family (KPM). Then they immediately spend it at the nearest shop. This is what rotates the local economy and in turn the national economy," he said.

The allocation of social assistance in the FY 2020 ceiling of the Ministry of Social Affairs is IDR 100.21 trillion with the realization as of yesterday, IDR 64.36 trillion or 64.23%.

On various occasions, the Minister of Social Affairs has often stated that social assistance during the COVID-19 pandemic, such as cash assistance (BST), has a direct effect in driving the economy. Like when reviewing the distribution of BST in Sukabumi District, yesterday, the Minister of Social Affairs stated the same thing.

"Currently, the economic condition is going down. BST can drive the people's economy and cover basic family needs that cannot be fulfilled due to the impact of the COVID-19 pandemic, "he said. To ensure the acceleration of the distribution of Social Assistance and the accuracy of targeting, within a week, the Minister of Social Affairs can go to the field 3-4 times in various cities.

Previously, in a limited meeting on Tuesday, July 7, 2020, at the State Palace, Jakarta, the President asked his staff to accelerate government spending to drive the economy. The third quarter of this year will be the key to efforts to recover the national economy amid the pandemic.

"The key is in the third quarter. As soon as the third quarter can leverage to plus (economic growth), yes, the fourth quarter will be easier, next year, God willing, it will also be easier, "he said.

According to him, government spending is the main activator for the economy in the midst of the current pandemic. The Head of State once again reminded his staff to be able to do extraordinary work beyond what has been done before. According to him, a number of things still need to be improved and their implementation should be improved for the needs of the wider community.

Public Relations Bureau

Ministry of Social Affairs.