For the first time in the past five years, the government is planning to cut budget allocation for the defense sector, commencing in 2016
For the first time in the past five years, the government is planning to cut budget allocation for the defense sector, commencing in 2016.
The government plans to cut its defense allocation for next year by 6.3 percent, or Rp 7 trillion (US$490 million), to Rp 95.8 trillion.
Lawmakers from Commission I, which oversees defense and foreign affairs, have expressed concerns about the government's decision given the government is on its way to revamp the country's weapons and associated defense systems.
Chairman of Commission I Mahfudz Siddiq said that, during the last five years, the state had allocated a big chunk of the budget to the Defense Ministry, the military and the plan to procure weapon systems in order to meet the level of minimum essential forces (MEF).
'This is why we're concerned, because there is a big gap reaching Rp 7 trillion from the 2015 budget allocated to the Defense Ministry and the military institution,' Mahfudz told The Jakarta Post after a hearing with members of the Defense Ministry and the Indonesian Military (TNI) at the House of Representatives.
The lower budget allocation for the defense sector would influence the welfare of soldiers and weapon systems procurement, he added. The government has been constantly increasing defense spending, from Rp 17 trillion in 2010 to Rp 102.3 trillion this year.
Despite the reduction for next year, defense spending is still the second-largest allocation in the draft state budget after public service sector that acquires Rp 764 trillion.
According to Mahfudz, TNI commander Gen. Gatot Nurmantyo revealed that the lower allocation of the budget for the military was due to the weak financial position of the government arising from global currency instability.
'Actually that's not a reason to reduce the budget for the military and our defense sector. The government raised the allocated budget for the police up to Rp 10 trillion in 2016,' he said
Based on the budget allocation, Mahfudz said the government cut the budget mostly for weapon systems.
It was reported that the Defense Ministry and the military had planned to buy a squadron of Sukhoi jet fighters to replace the retired F5 Tiger squadron.
The ministry had also planned to purchase Boeing and Chinook helicopters to increase its fleet. Another plan was to allocate a certain amount of the budget for the maintenance of the new weapon systems.
In relation to threats and risks from the South China Sea conflict, Indonesia plans to strengthen its capacity and weapon systems in Natuna and other border areas.
Previously, Defense Minister Ryamizard Ryacudu said the military and defense sector needed more funds to meet the target of MEF and to renew all weapon systems that had been old or damaged.
'This years' budget is not enough, how can it be reduced again,' he question rhetorically.
He expected the government would not reduce the budget for the military and defense sector, regardless of the weakening rupiah.
Mahfudz said that one possible solution to the matter was to wait for the Defense Ministry to produce the draft of MEF II strategic planning (renstra) in order for the program to commence in 2016.
'Renstra should be adjusted to the President's mission, for instance to create a maritime axis. The president will subsequently issue a presidential instruction [Inpres] on MEF. The Inpres will bind all parties, including the Finance Ministry and Bappenas [National Development Planning Board] to support the military to achieve the MEF's target,' Mahfudz said.
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