Budget debate delayed due to Golkar anniversary
Budget debate delayed due to Golkar anniversary
Dadan Wijaksana, The Jakarta Post, Jakarta
The House of Representatives budget committee surprisingly
decided to delay until Monday the completion of the crucial 2002
budget debate out of respect for the Golkar Party anniversary.
The House initially set a Saturday deadline to pave the way
for the approval of the budget on Oct. 23.
The delay was confirmed during a debate session late on Friday
after Golkar legislators insisted that they could not participate
on Saturday because they must attend an anniversary celebration
instead.
Nonetheless, Committee Chairman Benny Pasaribu ensured the
public that the House would still be able to pass the budget bill
into law by Oct. 24, shortly before legislators begin a month-
long recess period.
He reminded fellow legislators of the importance of a timely
completion of the budget deliberations.
"If we can't complete this (on time), it could create new
uncertainty that would be damaging to the economic recovery
process .... The regions are also all waiting for this ...,"
Benny Pasaribu told fellow legislators during the Friday debate
attended by Finance Minister Boediono.
A delay in the approval of the budget would have serious
consequences, including difficulties for all provincial and
regency administrations in drawing up their respective 2002
budgets in a timely fashion.
Some provincial administration officials and legislators told
The Jakarta Post earlier that they could not afford any delay.
Angry regions could trigger a new round of social and
political instability in the country.
The legislators debated the various components of state
expenditure during Friday's session.
By 11 p.m., only two components had been approved: personnel
expenditure, set at Rp 40.75 trillion (US$4.04 billion), and
material (goods and services) expenditure, at Rp 11.61 trillion.
"This means that there will be no increase in the salary of
government employees," Boediono said.
Domestic revenue for next year is set at Rp 301.87 trillion.
The 2002 budget deficit is projected at 2.5 percent of gross
domestic product.
Legislators said that the most difficult item to be decided
would be the fuel subsidy.