Palembang, The Indonesia Post – The Regional People’s Representative Council/ legislative council (DPRD) of South Sumatra Province encourages the South Sumatra Provincial Government (Pemprov) to innovate to increase Regional Original Income (PAD).
This was disclosed by the Chairman of the DPRD of South Sumatra, RA Anita Noeringhati when interviewed, Thursday (27/01).
According to Anita, this is in line with the target of the State Budget (APBN) deficit set by the Government in 2023, ranging from 2.71% to 2.97% of gross domestic product (GDP).
Along with that, the APBN deficit will reach more than Rp. 500 trillion and affect the transfer of funds to regions which have been the focus of the Regional Government in preparing the Regional Budget (APBD).
“The loss of transfer funds to the regions is the worst possibility that must be faced. Therefore, South Sumatra is encouraged to respond to the financial situation in 2023 by innovating to boost PAD,” she said.
Currently, South Sumatra’s APBD still has a high dependence on transfer funds.
According to Anita, the amount of transfer funds that will be received by the regions is not in accordance with the Regulation of the Minister of Finance (PMK) and has the potential for a deficit.
“If the state finances are in deficit and transfer funds are not disbursed, then the APBD will automatically be corrected,” she concluded. (mhn/ril)
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