Indonesian Political, Business & Finance News

Deputy Finance Minister: Eliminating Free Nutritious Meals on Saturdays Saves Rp1 Trillion in One Day

| Source: ANTARA_ID Translated from Indonesian | Social Policy
Deputy Finance Minister: Eliminating Free Nutritious Meals on Saturdays Saves Rp1 Trillion in One Day
Image: ANTARA_ID

Jakarta (ANTARA) - Deputy Finance Minister Juda Agung said that eliminating the distribution of the Free Nutritious Meals (MBG) programme on Saturdays could save around Rp1 trillion in the budget in one day.

Juda stated that this step is part of sharpening or refocusing government expenditure so that the implementation of priority programmes continues more efficiently and with higher quality.

“MBG, for example, which used to provide free lunches on Saturdays, has now been eliminated. One day can save one trillion,” said Juda during the Policy Dialogue session at the Kick Off Acceleration of Indonesia’s Intermediation (PINISI) event in Jakarta on Monday.

He explained that the policy is considered more logical because students do not need to come to school just to receive meals.

According to him, the savings could reach around Rp4 trillion in a month if calculated over four weeks.

“Four times in a month can save or cut Rp4 trillion. In a year, of course, we can save around Rp50 trillion,” he said.

In addition to Saturdays, the government is also eliminating MBG distribution during school holidays as part of the programme sharpening.

Juda emphasised that the government is still implementing priority programmes, but with a more targeted and high-quality approach.

“This is refocusing or sharpening. We are still carrying out the existing priority programmes with higher quality and more sharply,” he said.

He added that the government is also evaluating nutrition fulfilment service units (SPPG) that do not meet nutritional standards.

According to him, the government will take firm action by temporarily halting the operations of SPPG that do not meet those standards.

Furthermore, Juda said that this expenditure sharpening is being carried out to keep the state revenue and expenditure budget (APBN) deficit under control amid global oil price pressures.

He added that the government is holding back increases in subsidised fuel prices to protect people’s purchasing power, even though it implies increased subsidies.

To that end, the government is controlling expenditure and optimising revenue, including through the coretax taxation system and potential revenue from rising commodity prices such as coal and crude palm oil (CPO).

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