REPUBLIKA.CO.ID, JAKARTA -- Finance Minister Sri Mulyani Indrawati revealed that President Joko Widodo's (Jokowi's) plan to issue three new cards as a medium for channeling social assistance would not burden the budget in the state budget. According to her, the three cards were used as a more consolidated medium of distribution of aid.
The three new cards to be issued because previously, the allocation of social assistance was spread in the expenditure posts of several ministries based on the aid sector. The consolidation of aid posts with the addition of three new cards will increase accountability and transparency in managing the budget, the minister stated here on Monday.
The three new cards discussed by Jokowi, if he would later be re-elected for 2019-2024, are Cheap Food Packages, Indonesian Smart Cards (KIP) Lectures, and Pre-Work Cards.
"In terms of budget, it might not cause an explosion but something that is far more accountable, because the funds, which have been fragmented so far, can be far more consolidated well," he noted.
For example, so far, in the education sector, there has been assistance in various forms, such as the Family Hope Program (PKH), Indonesia Smart Card (KIP), Bidik Misi, scholarships from the Ministry of Religion, through the National Education Development Fund managed by the Fund Management Agency Education (LPDP).
Likewise in the health sector, so far, there has been assistance through PAUD in the context of fulfilling nutrition and food assistance, immunization assistance through PKH, and the Healthy Indonesia Card (KIS).
"So this integration can be designed, which, in my opinion, is a good step, and the impact will be better," Sri Mulyani remarked.
Regarding the budget posture that will be channeled through the three new cards, Sri Mulyani added that the amount would be adjusted with the country's fiscal spending capability in the budgeting year of social assistance.
"Later, based on an evaluation of various types of programs and budgets, it is an initial step on how the concept of integration and consolidation is made and makes it far more comprehensive and accountable," he revealed.
As an illustration, the government allocates an education budget of Rp492.5 trillion, or 20 percent of the overall APBN, and a health budget of Rp123.1 trillion in the 2019 State Budget.
Jokowi explained that he would issue three new social cards at the People's Convention in Sentul, West Java, on Sunday (Feb 24). In Cilacap, this Monday, Jokowi also promised that the budget for KIP up to college level would have a substantial budget allocation. Even so, Jokowi did not specify how much budget he would allot to renew his social card.