JAKARTA (TheInsiderStories) - Finance Minister Bambang Brodjonegoro said realized deficit of the 2015 Revised State Budget (APBN-P), based on Jan. 26, 2016 data, reached 2.56 percent to Gross Domestic Product (GDP), lower and end December estimation of 2.8 percent.
In October last year, the Finance Minister decided to widen state budget 2015 to 2.7 percent from 2.23 percent set in the 2015 Revised State Budget on concerned on lower tax revenues.
“The lower-than-projected deficit was due to higher tax revenues as well as realized expenditure of non-ministries government agencies,” the minister said.
He said the realized budget deficit indicates that the government managed to maintain fiscal sustainability and increase of expenditures in productive sector of the economy, in the middle of slowing down economic growth.
Indonesia’s GDP in 2015 reached Rp11,412 trillion.
The Minister also said in 2015, based on preliminary data of Jan. 22, 2016, Indonesia posted GDP growth of 4.74 percent, lower than government target set in the APBNP 2015 at 5.7 percent.
Inflation stood at 3.35 percent in 2015, lower than 2015 revised state budget at 5.0 percent. The inflation, Minister Bambang said, was achieved partly attributable to the fall of subsidized fuel price, goods transportation tariff and the ability to maintain basic products supply.
Realized oil lifting, based on preliminary data (Jan. 22, 2016) stood at 777,600 per day, below APBNP 2015 target of 825,000 barrels per day.
The realized Indonesia’s Crude Price (ICP) in 2015 reached US$49.2 per barrel. Gas lifting in 2015 stood at 1,195 barrels of oil equivalent (boepd), below APBNP target of 1,221 boepd in line with declining oil and gas prices.
At end October 2015, the People’s Representative Council (DPR) , enacted the 2016 Draft State Budget into law after long debate, intense lobby among House factions and ‘horse trading’ behind close doors.
The State Budget approval was marked by the decision to put on hold the much-needed capital injection worth Rp40.42 trillion into State Owned Enterprises (SOEs). Based on the plenary session decision, the capital injection (PMN) will be returned to related commissions for further and will be further discussed during the deliberation on the revision of the 2015 State Budget (APBN-P).
The total government’s spending reached Rp2,095.7 trillion , while revenues stood at Rp1,822.5 trillion, leaving a State Budget deficit of Rp273.2 trillion, or 2.15 percent of GDP. The government revenues consist of tax revenues of Rp1.546.7 trillion, non tax revenues of Rp273.8 trillion and grants Rp2 trillion. (*)