House wants more say over state spending

House wants more say over state spending

JAKARTA (JP): Speaker of the House of Representatives Wahono said yesterday that the legislative agency should be given a greater say and control over government spending, because this is mandated by the constitution.

Opening the House's plenary session for President Soeharto's annual budget speech, Wahono called for better ways for the government and the House to jointly discuss and deliberate over the government's budgetary affairs.

The House hopes that the mechanisms of deliberations over the government's budget bill, the amendment bill to the government budget, as well as the semester budget reports "will be improved and intensified from time to time," he said.

He underlined that the House, under Article 23 of the 1945 Constitution, has the power to control government spending.

Soeharto yesterday presented to the House the government's spending plans for the 1995/96 fiscal year, calling for an 11 percent increase in expenditures over the current year to Rp 78 trillion ($37 billion). These will be covered largely by tax revenues and the government's oil and gas tax receipts and supplemented by some foreign aid.

The budget plan must still be deliberated by the House, traditionally a mere formality. In recent years, however, the government's budget bill has been subjected to greater scrutiny by the House, although eventually they were still passed almost unchanged except for some of the wording.

Wahono acknowledged that the House has been extensively involved in the preliminary hearings with the government in the preparations for the 1995-96 budget plans. He placed high hopes that these hearings were not mere formalities and that the government paid attention to the deliberations and the demands of House members in drafting the budget.

Wahono urged the government to continue pursuing the principle of a balanced budget. "By adhering to this principle, all state expenditures should be thoroughly considered, taking into account the government's ability to raise revenues."

He also maintained the need for the government to always keep inflation in check through prudent monetary.

Noting the new tax laws which the House recently enacted were expected to bring in more revenue for the government, the House Speaker appealed to the people to pay their tax dues and for the government to improve its administration.

"The House also appeals to the government to use the budget efficiently, since the increase in tax revenues is not expected to be much. That means the budget must be executed carefully so that every rupiah obtained from the people will be used as efficiently as possible."

Wahono particularly welcome the effort by the State Audit Board to present its semester report on the government's finances earlier, something which he said would help the House in exercising its control and supervision of government spending.

"Hopefully, the existing good relationship between the House and the State Audit Board will be strengthened in the years to come," he said.(emb)