ID :
22536
Fri, 10/03/2008 - 20:20
Auther :
Shortlink :
http://m.oananews.org//node/22536
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GOVT URGED TO SPEED UP SPENDING OF EXPENDITURE BUDGET
Jakarta, Oct 3 (ANTARA) - The Indonesian Chamber of Commerce and Industry (Kadin) called on the government to speed up the spending of its expenditure budget to help achieve its 2008 economic growth target of 6.3 percent after the investment and household consumption sectors had failed to boost the country's economic performance due to external factors.
Chairman of Kadin's Permanent Committee for Fiscal and Monetary Affairs Bambang Soesatyo said here on Friday the failure of the investment and household consumption sectors to boost the country's economic growth should force the central government and regional administrations to accelerate the absorptions of their expenditure budgets.
He said while the end of the year was only three more months away, the government had only spent 46 percent of its expenditure budget so far.
"It is saddening because the government is late in preparing to speed up the absorption of the expenditure budget which until October only reached 46 percent," Bambang said.
He said it was ironical because the government actually knew that the slow absorption of the budget would hamper the growth of the real sector but it never worked hard to overcome the problem.
"Kadin has warned the government about the matter repeatedly since the beginning," he added.
He said global market demand for Indonesian goods would drop as a result of the United States' financial crisis which had affected importer countries in the world.
"The world today is waiting for the United States whether or not it will be able to rescue its financial sector, because the real sector in the world cannot move if the world's banking industry is unable to offer it credits as working capital and funds to buy raw materials," he said.
However, he said, Kadin would do its best to find new markets for Indonesia's exports aside from its traditional markets, particularly developing countries in the Asian region.
Chairman of Kadin's Permanent Committee for Fiscal and Monetary Affairs Bambang Soesatyo said here on Friday the failure of the investment and household consumption sectors to boost the country's economic growth should force the central government and regional administrations to accelerate the absorptions of their expenditure budgets.
He said while the end of the year was only three more months away, the government had only spent 46 percent of its expenditure budget so far.
"It is saddening because the government is late in preparing to speed up the absorption of the expenditure budget which until October only reached 46 percent," Bambang said.
He said it was ironical because the government actually knew that the slow absorption of the budget would hamper the growth of the real sector but it never worked hard to overcome the problem.
"Kadin has warned the government about the matter repeatedly since the beginning," he added.
He said global market demand for Indonesian goods would drop as a result of the United States' financial crisis which had affected importer countries in the world.
"The world today is waiting for the United States whether or not it will be able to rescue its financial sector, because the real sector in the world cannot move if the world's banking industry is unable to offer it credits as working capital and funds to buy raw materials," he said.
However, he said, Kadin would do its best to find new markets for Indonesia's exports aside from its traditional markets, particularly developing countries in the Asian region.
