Indonesia's State Budget Deficit Reaches Rp309 Trillion by October 2024

The Ministry of Finance (Kemenkeu) reported that the state budget (APBN) experienced a deficit of Rp309.2 trillion from the beginning of the year to October 2024. This figure is equivalent to 1.37% of the Gross Domestic Product (GDP).

This deficit widened compared to October 2023, which was only Rp0.2 trillion.

"This deficit is still smaller than the 2024 APBN allocation," said Finance Minister Sri Mulyani in an APBN KiTa press conference on the Kemenkeu YouTube channel, Friday (8/11/2024).

The government and the House of Representatives agreed on a deficit figure of 2.29% of GDP or Rp522.8 trillion in 2024.

This APBN deficit is influenced by higher government spending compared to government revenue.

State revenue realization until the end of October 2024 increased slightly by 0.3% (yoy) to Rp2,247.5 trillion, equivalent to 80.2% of this year's APBN target, which totals Rp2,802.3 trillion.

Meanwhile, the realization of government spending until the end of October 2024 increased by 14.1% (yoy) to Rp2,556.7 trillion, equivalent to 76.9% of this year's budget allocation, which totals Rp3,325.12 trillion.

"The growth in government spending is very high compared to previous years. This has a fairly good impact on the economy," said Sri Mulyani.

The state treasurer also mentioned that the primary balance until October 2024 still experienced a surplus of Rp97.1 trillion.