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Examining Sri Mulyani’s Key Statements on 2024 Presidential Election Dispute

TEMPO.CO, Jakarta – The 2024 Presidential Election dispute hearing, which was held by the Constitutional Court today, Friday, April 5 2024, presented 4 ministers, namely Coordinating Minister for Human Development and Culture Muhadjir Effendy, Coordinating Minister for the Economy Airlangga Hartarto, Minister of Social Affairs Tri Rismaharini, and Minister of Finance Sri Mulyani.

They appeared as witnesses explaining Jokowi’s social assistance, which the Anies-Muhaimin and Ganjar-Mahfud legal team considered to be beneficial to Prabowo-Gibran, because it was given ahead of the presidential election. On that occasion, Sri Mulyani provided a number of important statements regarding the origin of the allocation of funds for the president’s visit and community assistance funds from the president.

1. The source of community assistance funds from the president is not part of Perlinsos

Minister of Finance Sri Mulyani Indrawati said that the budget for social assistance from President Joko Widodo or Jokowi did not come from the social protection budget (Perlinsos), but from the president’s operational funds.

Sri Mulyani said that the source of funds for community assistance from the president was not part of Perlinsos. “The budget for the president’s visit and the budget for community assistance from the president comes from the president’s operational funds which come from the APBN,” said Sri Mulyani.

He explained that the president’s operational funds are regulated by Minister of Finance Regulation Number 48 of 2008 which was amended by Minister of Finance Regulation Number 106 of 2008. Meanwhile, the president’s community funds are regulated in Minister of State Secretary Regulation Number 2 of 2020.

Based on these regulations, activities that can be included in community funds by the president and vice president are religious, educational, social, economic, cultural, youth, women’s empowerment, sports and other activities ordered by the president or vice president. “This assistance can be given in the form of goods or money,” said Sri Mulyani.

2. Comparison of the amount of presidential operational funds from year to year

Then, he revealed the amount of the president’s operational funds from 2019 to 2024. “To illustrate, in 2019, the president’s operational funds were IDR 110 billion. “The realization was 57.2 billion or 52 percent,” said Sri Mulyani.

In 2020, the presidential operational budget allocation was IDR 116.2 billion with realization of IDR 77.9 billion or 67 percent. Then, the budget allocation in 2021 is IDR 119.7 billion with realization of IDR 102.4 billion or 86 percent.

In 2022, the budget allocation is 160.9 billion with a realization of IDR 138.3 billion or 86 percent, while in 2023, the budget allocation is 156.5 billion with a realization of IDR 127.8 billion or 82 percent.

“In 2024, the budget allocation for presidential operations funds and community assistance funds is IDR 138.3 billion. “The realization up to around March and April was IDR 18.7 billion or 14 percent,” he concluded

3. Denies blocking the ministry’s budget to finance social assistance

Sri Mulyani denied that automatic adjustments or blocking of ministry spending reserves were used to finance social assistance or Bansos ahead of the presidential election (Pilpres) in early 2024.

“I emphasize no,” said Sri Mulyani.

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The automatic adjustment, Sri Mulyani explained, has been carried out since 2022. Sri Mulyani then explained the rules for the automatic adjustment mechanism. “In the 2022 APBN, Law 6 of 2021, Article 28 paragraph (1) letter e; in the 2023 APBN, namely Law 28 of 2022, regulated in Article 32 paragraph (1) letter e; and in the 2024 APBN, namely Law 19 of 2023, regulated in Article 28 paragraph (1) letter e,” he said.

Sri Mulyani’s statement was intended to answer constitutional judge Enny Nurbaningsih’s question. To the four ministers present at the Constitutional Court hearing, Enny asked about the implementation of automatic adjustments.

“We ask that you can convey, or the Coordinating Minister can explain, whether or not there is an automatic adjustment regarding this matter,” said Enny.

4. Guarantee that the 2024 APBN process is not affected by contestation in the 2024 elections

In another statement, Sri Mulyani guaranteed that the process of preparing the 2024 State Revenue and Expenditure Budget (APBN) would not be affected by contestation in the 2024 general election, including the election of presidential candidates and vice presidential candidates in the 2024 presidential election.

“We ensure that the preparation of the 2024 APBN and its enactment into law is not influenced by anyone who will run as a candidate for president and vice president in the 2024 elections,” said Sri Mulyani, Friday, April 5 2024.

Sri Mulyani said that the determination of the 2024 APBN had been carried out long before the 2024 presidential election was held. He gave the example that the initial stages of planning and budgeting for the 2024 RAPBN were carried out in January-July 2023.

Furthermore, the former Managing Director of the World Bank said that the Macroeconomic Framework and Main Principles of Fiscal Policy (KEMMPKF), Government Work Plan (RKP), and budget ceilings by ministries/agencies had been discussed with the House of Representatives (DPR).

“The President submitted the Financial Note and the 2024 APBN Bill to the DPR at the Plenary Session on August 16 2023,” he said.

The government and DPR, he said, will begin discussing the APBN Bill within the next month. The DPR, continued Sri Mulyani, gave approval so that the APBN Law was enacted no later than a month later so that a Presidential Regulation which included details of the APBN was issued later.

He also compared the chronology of the preparation of the 2024 APBN with the process of the 2024 presidential and vice presidential elections carried out by the KPU. According to him, the time for determining the APBN Law has been completed before the time for determining the presidential and vice presidential candidates on November 13 2023.

“Or even the enactment of the 2024 APBN Law has been completed before the deadline for registration of presidential and vice presidential candidates which is scheduled for October 25 2023,” said Sri Mulyani.

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