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January 6, 2025 | 07:34 pm
TEMPO.CO, Jakarta - The 2024 State Budget (APBN) recorded a deficit of Rp507.8 trillion. Finance Minister Sri Mulyani Indrawati revealed that spending by ministries and agencies has surged, making it the largest contributor to the significant rise in government expenditures.
National revenues for 2024 amounted to Rp2,482.5 trillion, while total government spending reached Rp3,350.3 trillion, surpassing the initial target of Rp3,325.1 trillion.
“The primary driver behind this increase is the surge in spending by ministries and agencies,” Mulyani said during a press conference at the Ministry of Finance office in Central Jakarta on Monday, January 6, 2025.
According to ministry data, spending by ministries and agencies (KL) totaled Rp1,315 trillion—an increase of Rp120.6 trillion compared to the original 2024 target of Rp1,090.8 trillion. This figure is also higher than the government’s mid-year estimate of Rp1,198 trillion.
Sri Mulyani explained that part of this increase was due to funds being shifted from non-ministry spending. However, several ministries also saw their budgets rise. Non-ministry spending amounted to Rp1,171 trillion, lower than the initial target of Rp1,376.7 trillion, while transfers to regional governments totaled Rp863.5 trillion.
Isa Rachmatarwata, director-general of the Ministry of Finance's Budget Directorate, pointed to several factors driving the rise in KL spending. First, additional funds were allocated to support the government’s response to El Niño, including the provision of extra rice, chicken, and eggs. These items were distributed throughout the year, particularly in the first half, while rice aid resumed for August, October, and December.
Isa noted that the distribution was managed through the National Food Agency (Bapanas), contributing to the increase in KL spending. Additionally, the salary hike for civil servants played a role in the overall rise in ministry and agency expenditures. “This combination of factors led to a significant increase in KL spending for 2024,” Isa said.
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