Govt considers early budget deliberation

Govt considers early budget deliberation

Dadan Wijaksana, The Jakarta Post, Jakarta

The government is reviewing suggestions from certain lawmakers
to speed up the drafting of the 2005 state budget bill to prevent
its disruption by this year's national elections.

A thorough study on whether the bill should be drafted earlier
than usual is needed to ensure that the issue would not provoke
any dispute or confusion later, said Minister of Finance
Boediono.

"... Even if the current government enacts the bill into law,
the next government still has the right to draft its own budget,"
he said after a hearing late on Friday with the House of
Representatives Budget Committee.

During the elections, a total of 24 parties will compete for
some 145 million registered voters in the April 5 legislative
election and the July 5 presidential election.

Boediono was commenting on rising calls from legislators
urging the government to submit the draft 2005 state budget to
the House as early as possible, so that its deliberation could
proceed without much interference from the elections, which is
expected to keep lawmakers busy.

Many of the sitting lawmakers are expected to engage in
lengthy election campaigns for their respective parties.

Poltak Sitorus, deputy chairman of the budget committee, was
among the first to raise the call, suggesting that deliberation
should start in March for enactment in September at the latest.

Usually, the draft budget debate begins in August and it is
passed into law in November or December.

Poltak also argued that the budget process -- from drafting,
deliberation, to enactment of the budget -- should be conducted
by the current economic ministry.

Coordinating Minister for the Economy Dorodjatun Kuntjoro-
Jakti earlier has said that while the current government was
responsible for formulating the draft, it was the task of the
succeeding government and House to deliberate and enact it.

Some lawmakers said the plan was too risky, as aside from the
busy campaign schedule, technical difficulties would likely
emerge for the newly assembled government to deliberate the bill
immediately.

Boediono acknowledged the dilemma and stressed the need for a
careful study before reaching any conclusion.

"Also, under the law -- at least in principle -- we must
consult on the matter with the Budget Committee ... we must meet
to discuss the details," he explained.

No date has yet been set for a meeting to discuss the issue.

Due to its impact on the economy, an annual state budget must
be determined by the government and the House before the end of
the year. Failure to do so would create confusion in the nation's
fiscal management in the first months of the following year.

A late national budget will also delay regional governments in
drawing up their own budgets, as the regions still depend heavily
on budget allocations from the central government.