Up to Rp 477,5 Trilion, Finance Minister Allocates Significant Budget for Infrastructure in 2024

infrastructure development

Minister of Finance Sri Mulyani Indrawati has allocated a significant budget range for priority infrastructure, including funding for the development of the new National Capital (IKN) Nusantara. The proposed budget allocation for this endeavor is outlined in the Macroeconomic Policy and Key Fiscal Policy (KEM-PPKF) for 2024. Sri Mulyani emphasized the continued importance of infrastructure, stating, “Infrastructure remains a necessity, and we have allocated a substantial amount, ranging from Rp396.9 trillion to Rp477.5 trillion, for the upcoming year.”

The allocated budget aims to support economic transformation through various infrastructure projects, such as those related to information and communication technology (ICT), energy, food, and connectivity. This allocation also includes provisions to facilitate the gradual and sustainable completion of the IKN development.

Compared to the previous year, the proposed budget for infrastructure in 2024 reflects an increase of 1.25 percent to 21.8 percent. In the 2023 State Budget, Sri Mulyani had allocated Rp392 trillion of significant budget for infrastructure, showcasing the government’s commitment to further prioritize infrastructure development in the coming year.

In addition to infrastructure, the Minister of Finance has also prioritized budget allocations for other essential sectors. The proposed budget for education ranges from Rp643.1 trillion to Rp695.3 trillion, emphasizing the government’s dedication to investing in the nation’s human capital. Social protection also remains a key focus, with allocations ranging up to Rp546.9 trillion.

This budget aims to combat extreme poverty through programs such as the Family Hope Program (PKH), Rice Card (Kartu Sembako), and Village Cash Assistance (BLT Desa).

Sri Mulyani has recognized the importance of the health sector and included it as a priority area in the budget proposal. The proposed budget for the health sector reaches up to Rp200.8 trillion, demonstrating the government’s commitment to enhancing healthcare services and ensuring the well-being of the population.

Furthermore, food security has been addressed in the budget, with an allocation ranging from Rp104.3 trillion to Rp124.3 trillion. This emphasizes the government’s efforts to strengthen the country’s self-sufficiency in food production and ensure the availability of affordable and nutritious food for all.

Overall, the proposed budget allocations reflect the government’s strategic approach to prioritize infrastructure development, education, social protection, healthcare, and food security. These investments aim to foster economic growth, improve the well-being of the population, and drive sustainable development in the country.