"Almost every year, government always withdraws the foreign loans, including loan programs," said House Speaker, Marzuki Alie, when delivering a speech in the House of Representatives plenary session, closing session of the Second Year in the 2011-2012 Session of the Parliament Building, Jakarta on Friday (16/12).
"Council asks government to be selective in forwarding the foreign loans to certain state-owned enterprises (Badan Usaha Milik Negara - BUMN) so that it won’t become state finances burden in the future,” Marzuki said.
On that occasion, Marzuki asked the government to monitor the financial sector and monetary developments in the European region.
"The Euro currency dropping against the U.S. dollar will also gradually affect Indonesia's economy, particularly exports and imports, because the EU is Indonesia's major trading partners besides the United States," Marzuki said.
He added, the financial crisis that occurred in some EU member states should be addressed and examined by continuing to strengthen the domestic financial security system, both fiscal and monetary policies.
"When the economy depends on exports, then the next strategy to be taken is to seek new export markets in other regions, like Africa, Middle East and Latin America," Marzuki said.
He also alluded to the slow absorption of the 20011 state budget. According to him, the slow absorption of the budget has impacts on the state-budget-funded project development.
"There are three reasons for the slow absorption of the budget. First, the target budget is not in accordance with the planning so that the desired output is not reached.
The next reason for the less absorption is due to incorrect budget planning so that the target is not reached. The last reason is because it is a fundamental policy shift that takes time to adjust to the circumstances now," Marzuki said.
Source: Analisa
