| home | news |



House approves 2010 budget

Aditya Suharmoko ,  The Jakarta Post ,  Jakarta   |  Wed, 09/30/2009 3:24 PM  |  National

In its last plenary session Wednesday, the House of Representatives approved the 2010 state budget bill, providing the government with room to adjust the budget under certain circumstances.

Indonesia 's economic growth is expected to reach 5.5 percent next year, up from an estimate of 4.3 percent this year. Inflation is predicted to reach 5 percent in 2010.

The bill allows the new government, which will take over on Oct. 20, to add spending up to Rp 24 trillion (US$2.4 billion) for unallocated priority spending.

Deficit is set at Rp 98 trillion, or 1.6 percent of the country's gross domestic product (GDP).

The government may also adjust the price of subsidized fuels if the Indonesian Crude Price (ICP) soars 10 percent above the assumption of $65 per barrel.

The new House will start its term on Thursday.