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Sri Mulyani Key to Smooth Transition from Jokowi to Prabowo Administration

Celvin Moniaga Sipahutar
June 20, 2024 | 10:14 am
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Finance Minister Sri Mulyani Indrawati, second left, receives members of the transition team of President-Elect Prabowo Subianto at her office in Jakarta, Friday, May 31, 2024. (Handout)
Finance Minister Sri Mulyani Indrawati, second left, receives members of the transition team of President-Elect Prabowo Subianto at her office in Jakarta, Friday, May 31, 2024. (Handout)

Jakarta. The Finance Ministry holds a key role during the transition from the Joko "Jokowi" Widodo-Ma'ruf Amin administration to the Prabowo Subianto-Gibran Rakabuming Raka administration, according to Mudiyati Rahmatunnisa, a political analyst from Universitas Padjajaran.

"In the transitional period from President Jokowi's administration, ending on October 20, to President Prabowo's administration, I believe the most critical institution is the Finance Ministry," Mudiyati told Beritasatu.com on Wednesday.

Mudiyati explained that the ministry is vital as it manages the state budget (APBN) and allocates funds across ministries. She added that the ministry would need to make adjustments ahead of Prabowo's administration.

According to Mudiyati, these tasks present significant challenges for Finance Minister Sri Mulyani. The former World Bank managing director must ensure the budget cycle remains uninterrupted and begin adjusting budget allocations to accommodate Prabowo-Gibran's programs for the upcoming year.

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"The role of Finance Minister Sri Mulyani is central. Synchronizing budget allocations, especially for ongoing programs that still require attention, is crucial. Next year, the implementation of Prabowo's government programs, which are part of his political promises, will need to be facilitated," Mudiyati explained.

Mudiyati noted that the adjustment efforts have already begun, as evidenced by the Synchronization Task Force formed by Prabowo, which met with Sri Mulyani in late May. The task force's role includes coordinating with various institutions within the current Jokowi-Ma'ruf administration.

Mudiyati is confident that the ministry has started working on the budget to accommodate Prabowo-Gibran's political promises, including the free lunch program and the continuation of the Nusantara Capital City (IKN) project.

"Among the central and well-known political promises of Prabowo is the free lunch program, which must be supported by the state budget," Mudiyati added.

Sri Mulyani emphasized the importance of communication with the incoming administration to ensure continuity in development. This approach aims to ensure that Prabowo-Gibran's priority programs receive adequate funding.

"The new government's programs and priorities should continue without delay," Sri Mulyani stated in May.

President-elect Prabowo Subianto recently affirmed that he has no plans to raise the 3 percent budget deficit cap to fund his flagship free lunch program for schoolchildren. Finance Minister Sri Mulyani confirmed that the current government intends to maintain this 3 percent cap in the 2025 state budget.

The proposed budget for the program is approximately Rp 15,000 ($1) per child per day, excluding milk provision. The initiative aims to cover around 82.9 million students gradually until 2029, with an estimated total budget of Rp 400 trillion ($25.5 billion).

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