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House passes 2025 state budget
After being passed into law, the budget plan for 2025 can still be revised by the incoming administration to accommodate its priorities.
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The 2019-2020 House of Representatives (DPR) convenes the eighth plenary session of its second sitting session on Jan. 22, 2020 at the national legislature in Senayan, Jakarta. (JP/Dhoni Setiawan)
T
he House of Representatives passed the 2025 State Budget Bill at a plenary session on Thursday for President Joko “Jokowi” Widodo to sign within the roughly 30 days he has left in office, before it automatically becomes law.
House Budget Committee chairman Said Abdullah said in his remarks that the bill was designed to provide room for its administration at the “discretion” of the government of incoming president Prabowo Subianto, who takes office on Oct. 20.
Finance Minister Sri Mulyani Indrawati, speaking after Said, expressed her gratitude to the budget committee for accommodating the “priority programs of the [next] government” during the bill’s deliberation.
The legislative and executive branches have been deliberating the bill since the government unveiled the draft budget on Aug. 16.
A significant portion of the 2025 state budget has not been allocated to specific programs or ministries, as the outgoing government aimed to leave fiscal space for the next administration, which can still adjust the budget in alignment with its priority agenda.
Read also: Questions remain as 2025 budget moves closer to approval
The 2025 state budget gives the next government spending room totaling Rp 3.6 quadrillion (US$235.1 billion) including Rp 307.9 trillion for subsidies, around two-thirds of which is reserved for energy and the rest for housing, agriculture and other sectors.
