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Realization of infrastructure spending for 2021 reaches 94.21 percent: PUPR

Tempo - January 2, 2022

Antara, Jakarta – The budget realization for infrastructure spending in 2021 was recorded at 94.21 percent until the end of December, according to the Ministry of Public Works and Public Housing (PUPR).

PUPR Minister Basuki Hadimuljono reminded his staff to continue to enhance the quality of budget spending by taking into account the three principles of budget reform: economic or less spending, effective or spending well, and efficient or spending wisely.

"During the COVID-19 pandemic, economic growth experienced a decline due to a decrease in investment, including exports and imports. Hence, to support economic growth, the government relies on budget spending for infrastructure development," Minister Basuki noted in a written statement received here on Saturday.

The ministry has continues its work program by spending on infrastructure in PUPR-related areas, such as the construction and maintenance of dams, irrigation, roads, bridges, sanitation, drinking water systems, regional planning, infrastructure in strategic tourism areas, houses for low-income people in the context of improving competitiveness, as well as supporting the National Economic Recovery (PEN) Program due to the COVID-19 pandemic.

Based on monitoring data until December 31, 2021, some Rp143.29 trillion, or 94.21 percent of the total budget ceiling of Rp152.09 trillion for 2021 has been absorbed for the program.The 2021 budget includes a budget for the infrastructure development program with the Cash Intensive Work (PKT) scheme. The program includes the construction of small irrigation, sanitation, production roads, and self-help houses.

The program has absorbed 89.59 percent of the budget, or as much as Rp21.74 trillion. The budget realization has absorbed 1.52 million workers from the total budgeted Rp24.27 trillion for the Cash Intensive Program, with a target of absorbing 1.23 million workers.

"The Cash-Intensive Program at the ministry is implemented through infrastructure development that involves local communities as development actors, especially for the development of small-scale infrastructure or simple jobs that do not require technology," Minister Basuki noted.

The minister emphasized that this program aims to distribute funds to villages, maintain the people's purchasing power and absorb labor. The ministry's 20 activities are expected to accelerate the PEN Program after the COVID-19 pandemic.

Apart from the Cash-Intensive Program, the PUPR ministry also has four other programs to support the national economic recovery, including a tourism development support program of Rp3.01 trillion that has absorbed 99.12 percent of the budget and a food security program of Rp24.82 trillion that has absorbed 96.39 percent of the budget. Moreover, the support program for development of the Batang Integrated Industrial Estate of Rp1.7 trillion, with an absorption of 98.85 percent, while the last is Information and Communication Technologies (ICT) of Rp162 billion that has absorbed 97.62 percent of the budget.

Source: https://en.tempo.co/read/1545673/realization-of-infrastructure-spending-for-2021-reaches-94-21-percent-pup