Jakarta – Coordinating Economic Affairs Minister Airlangga Hartarto has defended the appointment of Lt. Gen. Djaka Budi Utama as the new leader of the customs office saying that the general had retired from the military.
Airlangga was responding to questions as to whether the appointment of Djaka as head of the customs office was a violation of the newly amended Indonesian Military (TNI) Law, which mandates the retirement of active military personnel if they are assigned to civilian positions outside of 14 designated ministries or agencies.
"He is a retiree, so there should not be a problem with his position," Airlangga said, as quoted by Antara on Friday.
On Friday, Finance Minister Sri Mulyani Indrawati swore in Djaka as the new leader of the country's customs agency, together with 21 new officials under the ministry.
Also inaugurated on Friday was the new taxation director general Bimo Wijayanto.
The appointment of Djaka has raised concerns over the increased role of the TNI in civilian affairs.
Djaka will join several active and former military officers in civilian positions in a number of agencies from the National Cyber and Encryption Agency (BSSN) and the State Logistics Agency (Bulog) to the National Nutrition Agency (BGN).
Speaking after the swearing-in ceremony Sri Mulyani said that Djaka and Budi, who was appointed directly by President Prabowo Subianto, had been given the task of improving the country's tax-to-GDP ratio.
"We understand that the hope of the country's leader is that state revenue must increase and also the tax ratio. What will also improve is service to tax payers, certainty in tax policies, as well as transparency in governance," Sri Mulyani said in her speech.