Investor Presentaiton
APBN Deficit Keeps Below 3% of GDP, Fiscal Sustainability
Maintained
Since the COVID-19 pandemic which occurred in 2020 and 2021, fiscal policy has been pushed to be expansionary with a
budget deficit of above 3% of GDP, but in 2022 the deficit was only 2.35% even though it was initially projected to be 4.5%.
2020
Extraordinary Policy
■ Perppu 1/2020 → Law
2/2020
■ Law 2/2020 Handling
Covid-19 and
Stimulus Program
PEN
■ Widening APBN deficit
by 6.34% of GDP
2020 APBN deficit to GDP (%)
Perp res
54/2020
Perp res
(Apr)
72/2020 Realization
(Jun)
2021
COVID-19 Handling &
Economic Recovery
■ Focus on handling the
pandemic (vaccination
and health protocols)
■ Economic recovery,
and
flexible
accountable PEN
■ Reform
momentum
(UU HPP, UU HKPD)
2021 APBN deficit to GDP (%)
APBN
2021
Realization
2021
יד וווי
-1.76
2022
National Economic
Recovery & Structural
Reform
■ Strengthening pandemic
management
(accelerating vaccination
for communal immunity)
■ Strengthening pandemic
management
(accelerating vaccination
for communal immunity)
■ Effectiveness of reforms
2023
Increased Productivity
& Fiscal Consolidation
Strengthening the role
of the APBN to
increase productivity
■Consolidation of a
quality fiscal (deficit
returns to a maximum
of 3% of GDP)
Structural reform
2022 APBN deficit to GDP (%)
2023 APBN deficit to GDP (%)
APBN
2022
Perpres
98/2022 Realization
(Jun)
APBN
2023
Realization
12 Dec 2023
2022
-5.07
-6.34 -6.14
-5.7
-4.57
||
-4.85
-4.5
-2.35
-2.27
-0.17
2024
Accelerating Economic
Transformation
■ Maintained
Sustainability
■ Short
inflation,
☐
poverty,
Fiscal
term focus:
extreme
stunting,
investment
Long term focus: HR,
Infrastructure,
bureaucracy
2024 APBN deficit to GDP (%)
APBN 2024
-2.29
Source: MOFView entire presentation