April 2022 Regional Budget Spending Realization Down Slightly by 1.1%

The Ministry of Finance (Kemenkeu) reported that the realization of Regional Revenue and Expenditure Budget (APBD) spending reached Rp175.86 trillion in April 2022, or 15.66% of the APBD.

This realization decreased by 1.1% compared to the same period the previous year, which amounted to Rp177.87 trillion (year-on-year/yoy).

A breakdown by type shows that APBD spending in April 2022 consisted of employee expenditure, which had the highest realization, reaching Rp91.10 trillion. This figure increased by 0.8% from April 2021, which amounted to Rp90.40 trillion (yoy).

Kemenkeu noted that the increase in employee expenditure was partly due to most regions having realized payments for employee additional income (TPP) and holiday allowances (THR) for Regional Civil Servants (PNSD).

Furthermore, the realization of goods and services expenditure amounted to Rp41.77 trillion, or an increase of 1.8% from the previous Rp41.02 trillion (yoy). This increase was due, among other things, to an increase in spending on heavy equipment, training, socialization, and technical guidance, followed by official travel expenses.

Next, the realization of capital expenditure reached Rp9.32 trillion, or an increase of 6.4% from last year's expenditure in the same period of Rp8.76 trillion. This increase was due to the optimal progress in recording and realizing the procurement of goods and services.

According to Kemenkeu's records, the increase in capital expenditure is shown by the growth in the realization of capital expenditure in the fields of agriculture and livestock, electricity and communication (telephone), computers, and land acquisition.

Meanwhile, the realization of other expenditures amounted to Rp33.68 trillion, or a decrease of 10.7% from the same period last year, which amounted to Rp37.69 trillion.

"Other expenditures have decreased, mainly related to the PEN or handling of Covid-19 last year, which was quite significant. So it means that activities in the regions have started to return to normal," said Minister of Finance Sri Mulyani in the APBN Kita Press Conference on Monday (23/5/2022).