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    Until August, West Java Budget Absorption is Almost 50%


    BANDUNG-West Java Provincial Government is optimistic that the budget absorption this year is still going well. In addition to the maximum absorption, the programs that run was based on the needs of the community.
    Until August 2017, the absorption of West Java provincial budget in regional budget Fiscal Year 2017 is almost 50%.
    West Java Governor Ahmad Heryawan (Aher) revealed that the absorption was good compared to the same time in previous year.
    "We are good in disbursement (budget absorption). Now in August our initial disbursements are already above 50 percent. If last year we are still in the 30s percent at the same time (August 2016) year on year, now it is almost 50 (percent) more, meaning we have no problem, "said Aher after the Plenary Parliament Plenary of West Java in Parliament Building West Java, Diponegoro Street No. 22, the city of Bandung, Monday (14/8/17).
    Aher said, Regional Budget absorption will increase further along with the intensification of the implementation of major projects mid-year until the end of the year. Even in Regional Budget FY 2016 and budget absorption reached 93.6% or the highest compared to other provinces.
    "Last year we absorbed 93 percent more. There is no province (budget absorption) to 90 percent except West Java, "said Aher.
    West Java Regional Budget absorption in the first half of 2017 reached Rp 16.206 Trillion. With the amount of Regional Budget 2017 approximately Rp 33 Trillion. So, when compared with last year's absorption the same time (year on year) is still better.
    Aher admitted absorption of West Java regional budget until now there is no significant problem. Absorption of 50% currently is still on schedule or not yet used. Basis of income and expenditure in accordance with the principles of the current year. So, if the budget has not been absorbed can be due to the unresolved auction and contract. Aher said, it will directly instruct the Regional Organization to immediately settle the auction and the contract.
    "If the budget is considered 100 percent, if in July is 50 percent is normal, meaning that settles a little. If the sediment (budget) of West Java quite a lot, earnings mean a lot. So, the sediment that comes from the funds that have been there but it is not used, that is wrong, but if then settles because of the increasing income, that is what we expect exactly, "said Aher.
    Despite the obstacles in budget absorption, Aher explained that the disbursement of the budget requires administrative mechanisms. For example the authority of the management of High School/ Vocational School that switch to the Provincial Government starting this year. Because of the integration of High School and Vocational School there is a payment mechanism for teacher allowances or other payments that need hard efforts from the financial administration. In addition, all parties must also adapt to existing rules.
    Regional Assistant for Administration Division of West Java Secretary M Solihin explained more detail picture of the realization of this year's expenditure compared to 2016: the realization of Expenditure As of July 31, FY 2016 amounted to 37.36% while FY 2017 amounted to 45.19%. Realization of Expenditure As of August 14, FY 2016 amounted to 43.65%, while FY 2017 amounted to 49.49%. "Third, Cash Balance As per August 14, 2017 Rp. 6,548,568,150,517, "he said in a different place.
    Solihin said, until now the absorption of regional budget is absolutely no problem, the current 50% absorption is still on schedule. "It should be remembered that the realization of revenues and expenditure in regional budget we follow the principles of the current year. So it could be increased regional cash because of income factors, but it should not be feared because it will be absorbed by government spending through the mechanism of auction and others, "he explained.
    When mentioned about the data of the Directorate General of Fiscal Balance (DJPK) of the Ministry of Finance, which mentioned that the funding of West Java Provincial Government was Rp 7.94 trillion, Solihin explained that the assumption is not settling or parking, the funds are actually stored in local treasury banks.
    "Because the budget absorption process continues, including for payment of physical development to third parties paid per termin accordance with the contract," he explained.

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