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Revised state budget to be submitted in May
The government will submit the bill on the revised 2016 state budget to the House of Representatives in May, regardless of whether the House passes a tax amnesty bill, Finance Minister Bambang Brodjonegoro said on Tuesday.
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Time to talk: President Joko “Jokowi” Widodo discusses matters with Finance Minister Bambang Brodjonegoro (left) before a limited Cabinet meeting at the State Palace in Jakarta last year. (thejakartapost.com/Wienda Parwitasari)
T
he government will submit the bill on the revised 2016 state budget to the House of Representatives in May, regardless of whether the House passes a tax amnesty bill, Finance Minister Bambang Brodjonegoro said on Tuesday.
"With or without [the tax amnesty bill], the state budget revision bill will be submitted in May," Bambang said in Jakarta on Tuesday.
The government expects the House to pass the tax amnesty bill into law before it submits the 2016 state budget revision bill, planning to revise down a number of economic assumptions in the revised budget as a result of the stormy global economy and continued plunge in oil prices.
Meanwhile, the House is set to begin discussing the tax amnesty bill next month.
Early on Tuesday, Vice President Jusuf Kalla told ministers to make efficiency savings, as allocations would be cut in the revised state budget.
Meanwhile, Coordinating Economic Minister Darmin Nasution expressed hope that the reduced budget would not affect national economic growth.
"There will be austerity measures, but we hope the state budget will maintain its role in accelerating economic growth. Austerity needs to be reconsidered," noted Coordinating Economic Minister Darmin Nasution.
Initially, the House approved a state budget of Rp 2.1 quadrillion (US$159.42) for 2016, comprising Rp 1.3 quadrillion for the central government and Rp 770.2 trillion for regional transfer funds and village funds.
Meanwhile, state revenue was set at Rp 1.8 quadrillion and the budget deficit at Rp 273.2 trillion, or 2.15 percent of gross domestic product (GDP).
Last year, the budget deficit stood at 2.56 percent of GDP. (bbn)
