Indonesia's Q1 2022 State Budget Realization: Rp5.8 Trillion Deficit

Indonesia's State Revenue and Expenditure Budget (APBN) recorded a deficit in the first quarter of 2022. According to a preliminary report from the Ministry of Finance, the APBN deficit reached Rp5.81 trillion, or 0.67% of the APBN target.

This contrasts with February 2022, which recorded a surplus. The APBN deficit in the first quarter of 2022 was due to higher government spending compared to government revenue.

Government spending reached Rp490.64 trillion, or 18.1% of the target. This figure is down 6.2% compared to last year's Rp523.04 trillion.

This spending comprised ministry/agency expenditure (K/L) of Rp151.49 trillion, non-K/L expenditure of Rp162.68 trillion, and transfers to regions and village funds (TKDD) of Rp176.46 trillion.

Meanwhile, state revenue reached Rp484.83 trillion, or 26.3% of this year's target. This represents a 30% increase compared to the first quarter of 2021, which amounted to Rp373.37 trillion.

State revenue was contributed by tax revenue of Rp385.63 trillion and non-tax state revenue (PNBP) of Rp99.09 trillion.

This year, the government targets a deficit of Rp868 trillion, or 4.85% of the Gross Domestic Product (GDP). State revenue is targeted at Rp1,864.1 trillion, while state expenditure is targeted at Rp2,714.2 trillion.

Hadiyanto, Director General of Treasury (DJPb) at the Ministry of Finance, stated that 2022 is a golden opportunity for national economic recovery. Therefore, Hadiyanto hopes that the allocated funds will be used effectively to achieve strategic national programs, particularly the continuation of COVID-19 handling and the National Economic Recovery Program (PC-PEN).