2022 State Budget: Fiscal Policy and Structural Reform slide image

2022 State Budget: Fiscal Policy and Structural Reform

2021 Budget Financing Macroeconomic Economic Growth Inflation Exchange Rate Assumption for 2021 10 years T-Bills Rate 5% 3% Budget 14.600 IDR/USD ICP US$ 45 7.29% per barrel 1,760.7 State Budget (APBN): 1,743.6 1,400.3 Tax Revenue Expenditure Central Govt Expenditure Oil Lifting 705 thousand barrel/day Gas Lifting 1.007 thousand barrel of oil equivalent/day 2,700.3 State Budget (APBN): 2,750 . STATE REVENUE POLICY Supporting national economic recovery by providing tax incentives selectively and prudently calculated Cutting the red tape to accelerate national economic recovery • Improving public services to optimize non-tax revenue 1.929,6 357.7 Non Tax Transfer to Region & Village Fund 770.7 2.7 Grants . EXPENDITURE FOCUS • Handling COVID-19 and supporting health programs Continuing social safety net to lay a solid foundation of inclusive economic recovery • Expanding access to capital for MSMEs and cooperatives through interest subsidy • Supporting programs activities for impacted sectors (e.g. Tourism) APBN & Outlook FINANCING STRATEGY Supporting the restructuring of SOES, PSA, Sovereign Wealth Fund (SWF) • Increasing access to financing for MSMEs and housing for low-income household • Continuing to support higher education,, research and cultural activities 939.6 Financing Deficit State Budget 5,7% PDB (APBN):1,006.4 Source: Ministry of Finance 80
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