The Indonesian Government Prepares Rp 541.7 Trillion in Education Budget in the 2022 State Budget Draft

The Indonesian government allocated Rp 541.7 trillion (approximately US$36.1 billion based on 2022 exchange rates) for education in the 2022 State Budget (RAPBN). This figure represents 20% of total government expenditure.

Despite fulfilling the legal mandate to allocate 20% of the national budget to education, the growth rate was lower than the previous year. The education budget in the 2022 RAPBN only grew by 0.3% compared to the 2021 outlook of Rp 540.3 trillion. This growth is significantly lower than the 14.06% growth achieved in the previous year.

The allocation is distributed as follows: Rp 181.7 trillion for central government spending, Rp 290.5 trillion for transfers to regions and village funds (TKDD), and Rp 20 trillion for government investment through the National Education Development Fund (DPPN).

The budget will focus on eleven key areas: synergy between government and ministries; strengthening early childhood education (PAUD); equitable distribution of educational facilities and infrastructure; improving teacher competency and professionalism; strengthening vocational education; and strengthening government investment in education.

Furthermore, the government will focus on strengthening national character based on Pancasila; improving literacy; developing infrastructure in regions; strengthening Islamic boarding schools (pesantren); and increasing attention to honorary teachers.