Budget Efficiency Will Not Reduce the Quality of Government Performance

Jakarta – The Indonesian government guarantees that the budget efficiency policy being implemented will not affect the quality of performance. Deputy Minister of Finance (Wamenkeu) Suahasil Nazara conveyed that the Ministry of Finance’s commitment to making the budget efficient is a form of support for government policies in managing state finances. In 2025, the President has a priority so it is natural to carry out budget efficiency.

This budget efficiency step is part of the implementation of Presidential Instruction Number 1 of 2025 which directs savings in the State Budget (APBN) of IDR 306.7 trillion. Budget cuts are mainly made on operational and non-operational spending in various ministries and institutions, but will not reduce the budget for employee spending or social assistance programs that are directly related to the community.

In his statement, Deputy Minister of Finance Suahasil Nazara said that the government has targets that must be adjusted to the priority matters that must be implemented. “We are entering 2025 with a new government, with a new setting, with new priorities from the President and Vice President. This is a natural dynamic, and we will adjust,” he said.

Furthermore, Suahasil emphasized that President Prabowo saw the potential for efficiency in state spending and asked to review the budget allocation that could be adjusted. This efficiency does not mean reducing the quality of performance, but rather reorganizing the work process to be more effective. One of the steps that the Ministry of Finance is focusing on is digitalization in financial management. Efficiency is not just about cutting the budget, but how to work smarter, more strategically, and more responsibly so that the Ministry of Finance remains respected.

Meanwhile, UPN Jakarta Economist and Public Policy Expert Achmad Nur Hidayat said that Prabowo’s efficiency policy could be a positive step in optimal state financial management. The impact of this efficiency will be very broad, the budget used can be optimal.

The government must continue to formulate a strategy so that the implementation of the policies carried out does not hinder performance and government programs that have been previously designed. Efficiency must be right on target for government programs such as public infrastructure, social assistance for vulnerable groups and job creation.

The budget efficiency policy will have a direct impact on the community. Instruct President Prabowo Subianto to make efficiency the first step in more optimal state financial management. Budget efficiency will also have an impact on optimizing the use of available funds. “This policy will help suppress inflation and maintain the stability of basic necessities prices, so that the public is not burdened by price increases caused by overly tight fiscal policies,” he explained.

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