As of the end of August, the performance of the State Budget (APBN) remains on track with the targets set in the 2024 APBN Bill. Finance Minister Sri Mulyani revealed during the APBN KiTa press conference that budget performance saw slight improvements, particularly in revenue collection. The state's revenue reached IDR 1,777 trillion, which represents 63.4% of the target and a year-on-year contraction of 2.5%. This contraction is significantly smaller than in previous months, indicating a potential recovery trend. Minister Sri Mulyani expressed optimism that revenue collection can continue to meet targets by the end of the year. On the expenditure side, state spending has reached IDR 1,930.7 trillion, or 58.1% of the total budget allocation for the year, with a strong growth rate of 15.3% year-on-year. This robust growth in expenditure is attributed to needs related to the elections and social assistance programs, particularly in response to El Niño. With these figures, the budget deficit up to the end of August stands at IDR 153.7 trillion, equivalent to 0.68% of GDP, which aligns with the 2024 APBN Bill. The primary balance shows a surplus of IDR 161.8 trillion. The APBN will continue to be optimized as a crucial instrument for economic stability, protecting the public, and supporting sustainable growth amid global economic challenges.
Meanwhile, the national economic outlook remains positive, with inflation steady at 2.12% year-on-year, supported by controlled food prices. The trade balance continues its surplus trend for the 52nd consecutive month, with exports at USD 23.6 billion and imports at USD 20.7 billion, though cumulative surpluses have decreased. The domestic factors indicate positive economic growth, with household consumption and various consumption proxies showing strong consumer confidence at 124.4. However, the Minister warned that the Purchasing Managers' Index (PMI) is entering contraction territory, which requires monitoring, although a 9% increase in imports may help boost manufacturing activities.
