Sunday, 7 July 2013

GOVERNMENT PROPOSED 2014 STATE BUDGET DRAFT TO THE HOUSE



Deputy Chairman of the House of Representatives, Sohibul Iman, said that President Susilo Bambang Yudhoyono has officially filed draft state budget [RAPBN] for 2014 financial year to the house or representatives. This was raised of the opening of the plenary meeting at the parliament building on Monday (5/20).
               
The House of Representative (Parliament) received a letter form the President about submission of draft state budget for 2014 on Friday, May 17, 201. Furthermore, Sohibul seeks the approval of the meeting to forward the letter to be processed by the parliament’s consultative body (Badan Musyawarah DPR), and the request was approved unanimously by all members of the parliament.
               
Talking points about draft 2014 state budget was presented by the minister of national development planning, Armida Alisjahbana. The talking points presented are related to the macroeconomic framework and fiscal policy points in 2014.
               
The industrial sector will be moving to meet world’s demand. In addition, domestic demand is also projected to increase, supported by the increase in purchasing power and the arrangement of the general election.
               
It is estimated that in 2014 the national economy is able to grow better than in 2013. The global economy is projected to rebound and volume of world trade to increase. The increase in global demand will also affect national economic activity, especially in terms of export and import.
               
However, one of the problems faced by the government currently is increasing energy subsidy in line with the increase in fuel consumption by the public. Increase in fuel subsidy is a source of pressure on the fiscal, and it limits the capacity of the state budget (APBN) to fund the infrastructure which is mush needed in boosting production capacity and future economic growth.
               
By considering several factors which may affect the occurrence of inflation and fiscal policy, monetary and the real sector in controlling inflation, inflation in 2014 is projected to move around the target range of 4.5 plus minus 1 percent. (E) 



Business News - May 24,2013   

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