Ministry of Finance Targets Rp1 Trillion in Non-Tax State Revenue from Auctions

Ministry of Finance Targets Rp1 Trillion in Non-Tax State Revenue from Auctions
Ministry of Finance Targets Rp1 Trillion in Non-Tax State Revenue from Auctions

The Ministry of Finance has set ambitious targets for non-tax state revenue (PNBP) derived from auctions, aiming to reach a significant milestone of Rp1 trillion by the conclusion of the year 2023.

Joko Prihanto, the esteemed Director of Auctions within the Directorate General of State Assets (DJKN) under the Ministry of Finance, presented this optimistic projection in light of the surging enthusiasm exhibited by the populace towards auctions conducted on their widely-accessible platform.

Elaborating on the matter during a media interaction after the culminating event celebrating the 115th Year of Indonesian Auctions, held at the distinguished Dhanapala Building, Ministry of Finance, on a momentous Tuesday (July 18, 2023), Joko confidently disclosed, “Our target for this year (from non-tax state revenue) is Rp750 billion, a considerable increase from the previous year’s Rp700 billion. With favorable circumstances, we hope to achieve a remarkable realization of Rp1 trillion.”

Impressively, Joko further disclosed that the PNBP realization during the initial six months of the year, covering the period from January to June in the first semester of 2023, has already accounted for a substantial sum, reaching Rp470 billion.

Proudly reflecting on the diligent evolution of the Auction Application, which first made its debut in 2013, DJKN has steadfastly pursued a path of continuous improvement. As a testament to their dedicated efforts, the Application underwent a profound transformation in 2018, resulting in its metamorphosis into the distinguished “Indonesian Auction Portal.”

A major driving force behind the success of this digitalized auction platform has been its remarkable versatility, empowering it to reach and engage a broader spectrum of the population, thus spurring a remarkable upsurge in auction participants.

With digitalization facilitating increased accessibility, the Indonesian Auction Portal has witnessed an extraordinary growth in the number of visitors, achieving an astonishing 400 percent increase from 2016 to 2022. This surge in participant engagement has, in turn, yielded a significant escalation in auction transaction values and consequently contributed to bolstering state revenue.

Acknowledging the impressive growth trajectory of the Indonesian auction market, DJKN meticulously documented the staggering ascent of the total auctioned asset value, which soared from approximately Rp12 trillion in yesteryears to a remarkable Rp35 trillion during the years spanning from 2016 to 2022. Intriguingly, in conjunction with this phenomenal expansion, the auction fees collected by the illustrious Sri Mulyani Indrawati exhibited an impressive trajectory, ascending from around Rp270 billion to an impressive sum exceeding Rp800 billion.

In light of these momentous developments, Rionald Silaban, the esteemed Director-General of State Assets, expressed his fervent hope that the commemorative 115th Year of Indonesian Auctions event would serve not only as an occasion for celebration but also as an instrumental platform for edifying, communicating, and fostering greater public familiarity and appreciation of the auction process.

“In addition to being a meeting ground for buyers and sellers, our aspiration is for this event to catalyze interactions among diverse communities, fostering greater public engagement with auctions and expanding the auction market,” emphasized Rionald.

In a befitting display of their commitment to providing an engaging auction experience, the DJKN organized an enthralling live voluntary auction during the event. Amidst much anticipation, various sought-after items, including premium vehicles such as a 2019 Toyota Camry and a 2018 Toyota Alphard, thrilled participants and spectators alike, ultimately fetching impressive bids and noteworthy prices. Moreover, the auction proceedings extended beyond automobiles, featuring captivating lots like Vespa motorcycles, captivating art objects, and products carefully crafted by micro, small, and medium enterprises (UMKM).

As the Indonesian auction landscape continues to thrive, propelled by the convergence of technology, accessibility, and community involvement, the Ministry of Finance and DJKN stand poised to steer the auction sector towards further success, fostering robust participation, and fueling continued economic growth. With a firm resolve to uphold transparency, efficiency, and public trust, the Indonesian Auction Portal continues to evolve as a dynamic catalyst for economic progress and a vibrant platform for the exchange of remarkable assets, creating a tapestry of opportunities for both the public and private sectors alike.