Penajam, East Kalimantan (ANTARA) - Finance Minister Sri Mulyani Indrawati has said the development of Indonesia's new capital (IKN) was one of the key factors that determined the design of the state budget for 2022.
Nevertheless, this year's state budget will prioritize the handling of COVID-19 and economic recovery, in accordance with the President's directive, she emphasized.
"The state budget should meet the state's necessities such as COVID-19 handling, economic revival, social protection, and global turmoil anticipation. But the IKN development is also a part of the national priority (program)," the minister elaborated at a press conference on State Sharia Securities (SBSN) asset signing of Pulau Balang Bridge in Penajam Paser Utara, East Kalimantan on Thursday.
Therefore, the anticipation of IKN funding will be maintained, especially once the IKN Bill has been approved by the House of Representatives, the implementation of building the new capital infrastructure will commence, she said.
The design and planning of IKN will be diligently coordinated with the Public Works and Public Housing (PUPR) Ministry, she added.
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Without sacrificing aspects of worthiness, aesthetics, and expectations, IKN will be a center for economic, cultural, social, and political activities for Indonesia's progress in the future, Indrawati said.
Meanwhile, funding strategies for IKN will be assigned to the Finance Ministry, therefore, the capability of the state budget should be looked into, she added. This is because even this year's budget is still focused on COVID-19 recovery efforts, such as providing social aid, she explained.
Nevertheless, she argued, some parts of the state budget can be allocated for IKN. For instance, in 2021, the acceleration of capital expenditure was quite high, hence, 2022's capital expenditure can be directed for the starting points of IKN's infrastructure, she said.
For 2023–2024, the state budget will be adjusted as per the state's condition and needs, she informed.
"For 2024, there will be the implementation of general elections, so all (of the state budget) needs to be balanced. Insya Allah (God willing), we can support it," the minister remarked.
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