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Sri Mulyani grilled over repeated failure to meet 20% education budget target

Source
Tempo - July 22, 2025

Annisa Febiola, Jakarta – Vice Chairman of the House of Representatives' Commission XI, Dolfie Othniel Frederic Palit, raised concerns over the education budget during a working meeting with Finance Minister Sri Mulyani Indrawati in Senayan, Jakarta, on Tuesday, July 22, 2025.

He questioned why the allocation for education has consistently fallen short of the 20 percent target mandated by the Constitution.

Dolfie began by asking about the 2024 budget realization. "I would like to ask, Madam Minister, what was the percentage of the education budget realization in 2024?" he inquired.

"Sixteen point ninety-nine (16,99) percent, Sir," Sri Mulyani responded.

Dolfie noted that there has been little progress since the Constitutional Court's 2007 ruling, which required a minimum of 20 percent of the State Budget (APBN) to be allocated to education.

He recalled that in 2007, the education budget stood at 18 percent, and in 2008, it dropped to 15.6 percent. "Looking at the current situation, it seems nothing has really changed," he said.

He pointed out that in 2022 the realization was 15 percent, followed by 16 percent in 2023 and 17 percent in 2024. For 2025, Dolfie predicted the percentage would remain unchanged, as a portion of the education budget was placed in the financing section in the form of reserve funds.

So even in 2025, the figure will still be 17 percent," he added.

Dolfie also highlighted that this persistent shortfall has continued through multiple presidential administrations, from Susilo Bambang Yudhoyono to Joko Widodo. "Throughout both of SBY's terms and Jokowi's two terms, there has been no change," he said.

With a new administration now in place, Dolfie urged for a more substantial shift in budget realization. He suggested that the lack of progress might be tied to the long-standing tenure of Sri Mulyani as finance minister.

"This is a new administration, and change should follow. We shouldn't conclude that because Mrs. Sri Mulyani has been in office since 2007, the posture has remained unchanged – but that could be one conclusion," he said.

As Dolfie continued his remarks, Sri Mulyani attempted to respond, saying, "Can I respond directly? So as not to create a perception later." Dolfie, however, said he had not finished speaking.

He emphasized the importance of upholding the constitutional mandate and implementing the Constitutional Court's ruling fairly. According to Dolfie, the core of the debate lies in whether the 20 percent allocation should be counted under spending or financing.

"If we refer to the Court's decision, the allocation should be in spending. Going forward, we hope the full 20 percent will be realized as actual spending, not held as unused reserve funds," he said.

Responding to the concerns, Sri Mulyani argued that the calculation of the 20 percent allocation should not be interpreted rigidly. She explained that in budget terms, the percentage involves both a numerator and a denominator, with the overall state budget serving as the denominator.

Source: https://en.tempo.co/read/2031399/sri-mulyani-grilled-over-repeated-failure-to-meet-20-education-budget-targe

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