Ministrys Budget Still Low

The Finance Ministrys treasury director general Agus Suprijanto said the absorption of capital expenses until mid-May was still low. The ministry and institutions capital expenses are only between 8 10 %. Yet, Deputy Finance Minister Anny Ratnawati has targeted capital expenses in the first semester to reach 30%. The capital expenses are still bad, said Agus last weekend in Jakarta.

Looking at the low realization, Agus doubts he can optimize capital expenses according to the 30% target. Total capital expenses in this years state budget reached Rp135.85 trillion. The low capital expense absorption, he said, was due to user concerns about corruption. People are afraid to spend it, yet the guideline is clear, he said.