2022 State Budget: Fiscal Policy and Structural Reform
Accelerating Structural Reforms is A Key to Enhance Medium to Long-term Growth
The Covid-19 pandemic has underscored the urgency to accelerate the structural reforms
Key for Further Strong and Sustainable Economy in Medium Term
Maintaining growth momentum through promoting growth engine: consumption,
investment, export & production sectors
Economic Growth Decomposition (%)
5.5
5.8
5.0
Structural reforms for improving productivity:
Implementation of Job Creation Law, SWF / INA, Risk-
Based OSS System
2.6
3.0
2.4
1.0
0.9
0.9
2.2
1.6
1.7
2.1
0.7
Increasing investment & export
competitiveness: creating quality jobs and
sustainable economic recovery
-2.1
Business
as usual
Reform
Scenario
-5.0
COVID-19
2021-2025 Projection_
Labor Capital Growth (Average)
Structural reforms along with fiscal reforms
(APBN)
2010-2019
2020
focus on priority areas: Health, Education, Social
Protection, Infrastructure, Tax Reform and Regional
Government Revenue Sharing Law (HKPD)
Source: Statistics Indonesia, MoF Calculation
â– Productivity
Source: Ministry of Finance
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