First in 2023, APBN starts to have a deficit of IDR 700 billion!

Jakarta –

Minister of Finance Sri Mulyani Indrawati revealed the State Revenue and Expenditure Budget (State Budget) until October 2023 starting a deficit of IDR 700 billion after nine consecutive months of surplus. This realization is equivalent to 0.003% of Gross Domestic Product (GDP).

“The posture of the APBN has started to have a deficit of Rp. 700 billion or 0.003% of GDP,” said Sri Mulyani in a virtual APBN press conference, Tuesday (20/12/2022).

This APBN deficit means that income is smaller than the amount of government expenditure. Until October 2023, state revenue will reach IDR 2,240.1 trillion or 90.9% of the target, growing 2.8% from last year.

For state spending, until October 2023 it will reach IDR 2,240.8 trillion or 73.2% of the target. That number has decreased by 4.7% compared to last year.

“The figures are almost the same in nominal terms between state income and expenditure, but state expenditure is only 73.2% of the total budget ceiling in the APBN Law. This means that state expenditure from last year fell by 4.7%,” explained Sri Mulyani.

Even though the 2023 APBN is starting to have a deficit, Sri Mulyani said that in terms of primary balance it still recorded a surplus of IDR 365.4 trillion.

“Until October 2023, the APBN performance is on track. In line with increasingly large spending, the APBN is starting to record a deficit,” wrote Sri Mulyani’s presentation material.

(aid/that)