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Home Indonesia

Govt outlines Rp3,613.1 trillion spending plan for 2025

WNAM: by WNAM:
August 17, 2024
in Indonesia
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Govt outlines Rp3,613.1 trillion spending plan for 2025
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Jakarta ( WNAM MONITORING):  President Joko Widodo (Jokowi) has informed that the projected allocation for state spending in the 2025 State Budget Draft (RAPBN) is 3,613.1 trillion Indonesian rupiah (USD1 = around Rp15.705,55). “State spending is planned to reach Rp3,613.1 trillion,” he said while delivering the 2025 State Budget Bill and Financial Notes at the plenary session of the House of Representatives here Friday.

President Jokowi outlined a spending plan that divides budget funds into two main categories: Rp2,693.2 trillion for the central government and Rp919.9 trillion for transfers to regional administrations.

Central government spending will be earmarked for key areas such as education, social protection, health, food security, and infrastructure development.

Education will get the largest allocation, with Rp722.6 trillion dedicated to improving school nutrition, renovating facilities, establishing elite schools, expanding scholarships, and supporting research.

To address poverty and inequality, the government will set aside Rp504.7 trillion for social protection programs.

The health sector will get Rp197.8 trillion—or 5.5 percent of the total state spending—to enhance service quality, reduce stunting, combat infectious diseases, and provide free health checks.

Food security is a priority with a budget of Rp124.4 trillion earmarked for increasing agricultural productivity, stabilizing food prices, improving distribution networks, and expanding financing options for farmers.

The planned infrastructure development allocation of Rp400.3 trillion will focus on education and health facilities, connectivity, food and energy infrastructure, and the sustainable development of the new capital city.

To foster regional development and reduce disparities, the government plans to transfer Rp919.9 trillion to regional administrations.

This funding is intended to align central and local policies, optimize resource allocation, and strengthen inter-regional cooperation.

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