Indonesia' ministry of finance (MoF) will injects Rp13.56 trillion (US$954.92 million) to overcome the deficit in the National Health Insurance Agency - Photo: Special

Jakarta (TheInsiderStories) – Indonesia’ ministry of finance (MoF) will injects Rp13.56 trillion (US$954.92 million) to overcome the deficit in the National Health Insurance Agency (NHIA), told the senior official on Monday (08/02). The agency is estimating has experienced a RpRp32.8 trillion deficit in this year.

At the hearing with the parliament, deputy finance Minister Mardiasmo told the media, the funds came from the rising of non-contributory health insurance fees from Rp23,000 to Rp42,000 collecting starting August 2019. The rest of the deficit will covering by 2019 State Budget funds.

He said, as of now, there are 96.8 million participants of the central non-contributory health insurance and 37 million participants of the regional non-contributory health insurance. Last year, President Joko Widodo has signed presidential decree about the use of cigarette excise from the regions to cover the financial deficit of the agency. 

The amount of cigarette tax contribution as intended, according to this presidential decree, is stipulated that 75 percent of the 50 percent realization of cigarette tax revenue is part of the rights of each province, regency or city.

The health insurance agency previously hoped that the government would channel funds from cigarette excise to balance its financial flows. The discussion on the use of cigarette excise has been carried out since May 2018. But on its way, the government cancelled the planned.

President Joko Widodo through his “Nawa Cita” program has separated NHIA with National Employment Insurance Agency. After the separation, the health insurance agency continues to suffer loss.

In his second term, the Indonesian leader has announced to release three new cards namely Indonesian Smart Card (ISC) for college, Pre-work Card, and Cheap Food Packages. He explained, the ISC-College program is a continuation of ISC that has been implemented for students with nine years of compulsory education to secure their education to college.

This program is a new breakthrough so that Indonesian people can complete higher education without having to be burdened with tuition fees. Two years ago, one of the targets of education in 2017 was 19.7 million students had the ISC for elementary, junior high and senior high school levels.

In addition, the government also provided school assistance in the form of School Operational Funds for 8.5 million students in Islamic school and 46.2 million students from elementary to high school levels.

Even so, the Pre-work Card is a program to ensure training and community development that does not yet have skills in the world of work. They will be trained through 3,000 Job Training Centers spread throughout Indonesia. Based on data from Statistics Indonesia, as of August 2019, the unemployment rate was 5.01 percent.

His future vice president Ma’ruf Amin promised to maximize the Health National Insurance and Healthy Indonesia Card program. This program was considered capable of making innovative steps in encouraging the optimization of health services.

He explained, through this program, the government has provided considerable social insurance efforts. This can be seen from the number of Health-Social Insurance Administration participants which reached 215 million peoples.

Written by Staff Editor, Email: theinsiderstories@gmail.com