Is it true that the MPR and DPR are not subject to budget efficiency?

1. Is it true that the MPR and DPR are not subject to budget efficiency?

Finance Minister Sri Mulyani recently issued a document containing a list of spending that must be cut by each ministry/institution in order to create budget efficiency. However, based on the document received by Kompas, not all ministries/institutions were affected by the efficiency.

Among them are the House of Representatives (DPR) and the People's Consultative Assembly (MPR). Both are not targeted for budget efficiency, so their budget ceilings in 2025 remain intact, namely DPR at IDR 6.6 trillion and MPR at IDR 969 billion.

This is different from the Regional Representative Council (DPD) which is affected by budget efficiency. The DPD's budget ceiling in 2025 reaches IDR 1.3 trillion and it is expected that there will be budget efficiency of around IDR 511 billion.

2. Why doesn't budget efficiency touch law enforcement agencies?

President Prabowo Subianto's instruction to implement budget efficiency for ministries/agencies is becoming more focused. While most agencies are having their budgets cut, law enforcement institutions are exempt from this policy.

Based on data received by Kompas, law enforcement agencies such as the Indonesian National Police (Polri), the Attorney General's Office (Kejagung), the Supreme Court (MA), and the Corruption Eradication Commission (KPK) did not experience budget cuts. The 2025 budget ceiling for the Polri is IDR 126.6 trillion, the AGO is IDR 24.2 trillion, the MA is IDR 12.6 trillion, and the KPK is IDR 1.2 trillion.

In the context of the 2025 State Budget allocation, the National Police occupies the second position for ministries/agencies with the largest budget. The first position is held by the Ministry of Defense with a budget of IDR 166.2 trillion. The Ministry of Defense is also one of the ministries whose budget ceiling has not been cut.

3. What is the impact of budget efficiency at the State Civil Service Agency?

A series of steps have been taken by government agencies to streamline the budget in accordance with instructions from President Prabowo Subianto. The National Civil Service Agency (BKN), for instance, has limited or even eliminated fuel allocations for its officials. Not only targeting officials, the operation of shuttle cars for employees has also been discontinued. The use of elevators and air conditioning equipment in the office will also be partially functional.

Acting Head of the Public Relations, Legal, and Cooperation Bureau of BKN, Mohammad Ridwan, when contacted on Sunday (2/2/2025), stated that the efficiency measures are part of President Prabowo's instructions to streamline the budget. As a result, BKN has cut its budget by up to Rp 285.29 billion or equivalent to 35.73 percent of the allocated budget for 2025, which is Rp 798 billion.

According to Ridwan, this budget cut will certainly impact BKN. However, he assured that with the innovations and new working methods being designed, the implementation of BKN's priority programs will continue. For instance, BKN has been fully utilizing applications for substantial tasks in ASN management services.

4. What could happen in ministries and agencies when budgets are cut significantly?

The government is urged to be more careful in cutting the budgets of ministries and agencies so as not to seriously impact the performance of the bureaucracy and public services. Careless budget cuts have the potential to leave employees idle and make programs run ineffectively.

According to regional autonomy expert Djohermansyah Djohan, significant budget cuts could cause several programs and activities of ministries and institutions to come to a halt in the second half of this year. "These cuts have the potential to leave employees idle because the budget has already been fully absorbed in the first semester. Without funding for the remainder of the year, there is a possibility of (employees) being idle," said Djohermansyah in Jakarta, Monday (3/2/2025).

Djohermansyah gave an example that several regions have experienced budget cuts to finance the needs of local elections. After the budget cuts, employees had no work due to the lack of funds for activities. "In the end, employees still came to the office, but there was no work. The remaining time in the office was spent being idle," he said.

5. What did the MPR Chairman say about budget efficiency in the institution he leads?

MPR Chairman Ahmad Muzani when met at the Presidential Palace, Monday (3/2/2025), emphasized that, just like other ministries and state institutions, the MPR budget has also been cut in accordance with Presidential Instruction Number 1 of 2025 concerning the Efficiency of the State Revenue and Expenditure Budget (APBN) and the Regional Revenue and Expenditure Budget (APBD).

Muzani admitted that he had received a report from the Secretary General and the MPR Budget Agency regarding the matter before meeting President Prabowo. Not only that, the MPR budget cuts were also one of the things discussed when he met with the President. "Yes, (discussed) briefly," said Muzani.

Muzani said that there were several budget items that were cut to support the government's efficiency program. The items in question, among others, are related to official travel, including the socialization of the four pillars which have been routine programs of the MPR.