The ministry of finance has set the national economic recovery program (ERP) budget with total amount of Rp699.43 trillion (US$49.60 billion) in this year - Photo by Finance Ministry Office

JAKARTA (TheInsiderStories) – The Finance Ministry’s Directorate General for Taxation announced that the amount of tax collection reached Rp900.8 trillion (US$62.12 billion) in the first nine months (9M) of 2018, around 63.3 per cent of the full year target.

Indonesian government expected state revenue will reach 95-96 per cent of the target, while the deficit expected to lower than this year’s target.

Robert Pakpahan, the director general for taxation, said the amount of tax collection may hit 95 per cent of target by the end of 2018. This year the government targeting to collect Rp

Meanwhile, the directorate general of customs and excise reported the realization of customs and excise revenue has reached Rp125.1 trillion or 64.5 percent of the 2018 State Budget target until the end of September 2018.

“Customs for import duties, export duties, and excise according to the target set. So far, still showing good trends,” said director general of customs and excise Heru Pambudi in Jakarta, Tuesday (02/10) .

In more detail, the realization of import duties was 80.08 percent of the target or amounting to Rp28.59 trillion. Meanwhile, the realization of the export duty is 174 percent of the target or Rp5.2 trillion. Then, for excise receipts amounted to 58.78 percent of the target or Rp91.3 trillion.

With these results, the total customs revenue has reached Rp125.1 trillion. The revenues grew by 15.7 percent compared to revenue realization in the same period last year.

Even there are lot a pressures on the tax and excise revenues, Indonesian government decided not to revise the 2018 State budget although some assumption including rupiah currency against US Dollar and oil price are too far from the realization.

Finance Minister Sri Mulyani Indrawati said the Indonesian government views the posture of the 2018 state budget are quite stable and does not experience a big deviation in state revenue and state expenditure. The deficit is smaller than planned at 2.12 per cent of gross domestic product (GDP) or equivalent to Rp314 trillion from an assumption of 2.19 per cent of GDP or Rp325 trillion.

Bank Permata’s Economist Josua Pardede said the government’s decision not to revise 2018 state budget is an effort to maintain stability. He added, “The government has unofficially revised downward growth, so it has been illustrated that the government’s focus now is actually maintaining stability with a well-maintained deficit.”

Written by Staff Editor, Email: