Budget Efficiency: A Strategic Step by the Government in Directing Development According to National Priorities

By: Sumirating Vernandha
Under the leadership of President Prabowo Subianto, the Indonesian government is focusing on directing national development with a more targeted and efficient strategy. The budget efficiency policy implemented is not just a cost-saving measure but also an effort to ensure that every rupiah from the State Budget (APBN) is used optimally, aligned with national priorities. This step reflects the government’s commitment to creating better governance for the welfare of the people.
Economist from Universitas Paramadina, Wijayanto Samirin, argues that the budget efficiency policy the government has implemented can steer development in line with national priorities. He believes that reallocating the APBN spending could benefit some parties, while others may be impacted. However, this step is crucial to ensure that development follows the government’s vision. This policy is not just about reducing the budget burden but also directing funds to sectors that will have a greater impact on the welfare of the people.
Along with that, budget efficiency also serves as a proactive step in facing global uncertainties and maintaining national fiscal stability. By ensuring that the budget is allocated effectively, the government can strengthen strategic sectors such as infrastructure, education, and health, which are key pillars in creating the nation’s competitiveness.
One of the concerns often raised regarding the budget efficiency policy is its impact on social programs. However, Deputy Minister of Social Affairs Agus Jabo ensures that social assistance programs and the Family Hope Program (PKH) will not be affected by the budget efficiency instructed by President Prabowo. According to him, the Ministry of Social Affairs has made various adjustments in the distribution of social assistance to ensure that it runs smoothly. This shows that the government is still prioritizing the welfare of vulnerable communities in its fiscal policy.
With these adjustments, the distribution of social assistance is expected to become more targeted and efficient in its implementation. The government is also continuously improving the data system of beneficiaries to ensure that assistance is directed to those who truly need it. This step not only ensures that programs continue but also improves accountability in the distribution of social assistance.
Budget efficiency is also realized through digital transformation in the government sector. Digitalization is expected to reduce waste and improve transparency in managing state finances. Minister of Administrative and Bureaucratic Reform, Rini Widyantini, emphasized that her team is conducting a comprehensive evaluation of various programs and activities to ensure the optimal use of the budget. This evaluation includes reviewing the effectiveness and efficiency of every program implemented by ministries and government agencies.
A key focus is identifying activities that have a significant impact and eliminating programs that are less productive. Additionally, the government is working to accelerate the integration of digital systems to improve coordination between agencies.
This step is expected to reduce budget overlap and speed up decision-making processes. Rini highlighted that digital-based bureaucratic reform is a key factor in driving efficiency and accountability. The government is also encouraging the use of information technology in public services to make them faster and more accessible to the public. With these various efforts, the state budget can be allocated more precisely and have a greater impact on the welfare of the people.
The optimization of technology is considered a solution to address these efficiency challenges. The government is working to reduce operational costs by implementing a digital-based work system, minimizing the use of office facilities, and strengthening collaboration across units through the concept of share outcome, share output, and share activities. With this approach, the use of resources becomes more effective, and employee productivity increases.
Moreover, digitalization in government administration systems has a positive impact on public services. With technology-based systems, people can access government services more quickly, transparently, and efficiently. This aligns with the government’s vision of building a bureaucracy that is responsive to public needs and reducing the potential for budget mismanagement.
The budget efficiency step implemented by the government is not just a temporary policy but part of a long-term strategy to create a more effective and accountable government. In the face of global economic challenges, this policy proves that the government has a strong commitment to ensuring development moves in the direction that has been planned.
The public is expected to support and trust the policies implemented by the government. With budget efficiency, development can be more targeted and sustainable, so that the benefits can be felt by all segments of society. The government has shown its seriousness in balancing sound fiscal management and the sustainability of social programs, ensuring that Indonesia can continue to move forward toward more equitable welfare.
As a great nation, we need to understand that budget efficiency is not just about cutting budgets but about optimizing fund use to achieve larger development goals. With the support of all parties, this policy will strengthen the national economy’s foundation and make Indonesia more resilient in the face of global dynamics.
(* The author is a financial observer at the Currency Nation of Capital Institution)