Govt, House hope for more transparency in TNI budget

Govt, House hope for more transparency in TNI budget

Tiarma Siboro, The Jakarta Post, Jakarta

Pressures have mounted for the Indonesian Military to improve
transparency in its spending following the government proposal to
raise its defense budget for 2003.

Anwar Nasution, senior deputy Governor of Bank Indonesia, and
Amris Hassan, a legislator from the Indonesian Democratic Party
of Struggle (PDI Perjuangan), were of the opinion that the
military, as well as other institutions, had to gradually stop
the use of non-budgetary funds -- funds from side businesses and
foundations -- because the practice lacked public accountability.

"I guess the military is not the only institution to have
financed its operations using non-budgetary funds. Almost all
institutions have (outside income sources). And we (the
government and the House) must gradually stop them," Anwar told
The Jakarta Post on Thursday on the sidelines of a meeting
between the government and the House Budget Commission on the
revision of the 2003 State Budget.

"For the military...it may be more complicated because these
foundations and side businesses became standard procedure during
Pak Harto's administration," Anwar said, referring to former
long-time president Soeharto.

Amris urged the military to immediately clarify whether or not
it spent some 30 percent of non-budgetary funds for its
operations, or else "we will no longer support them in raising
the budget."

"Transparency is a must, and we will conduct an annual review
to see whether or not the military seriously upholds public
accountability. Thus far, I believe the institution has the good
will to promote transparency, but they have failed to do it,"
Amris, also deputy chairman of the House Commission I on
political, security and foreign affairs, said.

On Monday, Minister of Defense Matori Abdul Djalil asked for
approval from Commission I for an increased budget for the
Ministry from Rp 16.162 trillion (US$18 million) last year to Rp
19.487 trillion in 2003.

The hike of some Rp 3.3 trillion covers the ministry's routine
spending of Rp 2.62 trillion and its development spending of Rp
705 billion.

According to Matori, the increase is necessary as the military
plans to improve the daily meal allowance for soldiers to Rp
17,500 from the current Rp 12,500 and spend more for operational,
education and training expenses from the current Rp 489 billion
to Rp 1.143 trillion.