2022 State Budget and Fiscal Incentives Presentation slide image

2022 State Budget and Fiscal Incentives Presentation

2021 Budget Records An Excellent Performance Gov't revenue exceeds the target; Expenditure is optimal, while efficient Budget Financing in 2021 serves as strong capital for fiscal consolidation in 2023 The realization of the 2021 Budget Deficit is around 4.65% of GDP, Rp222.7 Trillion lower than the target: Revenue outturn is 14.9% above the target, also surpassing the pre-pandemic level • For the first time in 12 years, tax collection surpassed the target owing to the strengthening economy, while at the same time providing incentives for the business world. Surging commodity prices and trade performance has boosted custom and non-tax revenue. Government spending increased strongly to support the covid-19 containment efforts and facilitating recovery economic recovery 2019 2020 2021 Account (IDR T) Diff Audited Growth (%) Audited Growth (%) Budget Realized* from budget % of Budget YOY (%) A. Revenue I. Tax Revenue 1,960.6 1,332.7 II. Customs & Excise 213,5 0.9 1.5 3.9 1,647.8 16.0 1,072.1 (19.6) 213.0 0.2 III. Non-tax Revenue 409,0 (0.1) B. Expenditure 2,309.3 4.3 I. Central Government 1,496.3 2.8 1. Line Ministries 873,4 3.2 343.8 (15.9) 2,595.5 12.4 1,833.0 22.5 1,59.6 21.3 2. Non-Line Ministries 622,9 2.3 773.3 24.2 Of which: a. Interest Rate 275.5 6.8 314.1 14.0 373.3 b. Subsidy 201.9 (7.0) 196.2 (2.8) 175.4 1,743.6 2,003.1 1,229.6 1,277.5 215.0 269.0 298.2 452.0 2,750.0 2.786.8 1,954.5 2.001,1 1,032.0 1,189.1 922.6 812.0 343.5 243.1 259.4 114.9 21.6 47.9 103.9 19.2 54.0 125.1 26.3 153.8 151.6 31.5 36.7 101.3 7.4 46.5 102.4 9.2 157.1 115.2 12.2 (110.6) 88.0 5.0 (29.8) 92.0 9.4 67.7 138.6 23.9 • II. Regional Transfer & Village Funds 813.0 7.3 762.5 (6.20 795.5 785.7 (9.8) 98.8 3.0 C. Primary Balance (73.1) 536.4 D. Surplus (Deficit) (348.7) 29.4 % to GDP (2.2) (633.6) 766.4 (633.1) (440.2) (947.7) 171.8 (1,006.4) (783.7) (6.14) (5.70) (4.65) 192.9 222.7 69.5 (30.5) 77.9 (17.3) E. Financing 402.1 31.5 F. Surplus of Financing 53.4 245.6 *preliminary numbers 1,193.3 196.8 1,006.4 868.6 (137.7) 86.3 (27.2) 84.9 Line Ministries' (LM) spending went up, focusing on the pandemic handling and social welfare programs. Efficient debt interest payments supported by low yields & reduced debt issuance Transfer to region increased to support regional government in tackling the covid-19 and supporting recovery Lower debt financing of Rp310 T by utilizing SKB III and accumulated budget surplus (SAL), while the main investment financing is to support infrastructure. Surplus of Financing (SILPA) 2021 is IDR 84.9 T, as the impact of a lower deficit and more efficient budget financing. 62 62
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