Cut Travel Budget, Prabowo: We Save Over Rp 20 Trillion

President Prabowo Subianto has cut the travel budget by more than 50 percent. "I have reduced business trips by half, which allows us to save over Rp 20 trillion. If we consider Rp 20 trillion, think about how many school buildings we could repair," Prabowo said while opening the Cabinet Meeting at the Presidential Office in Jakarta on Wednesday (January 22, 2025). Additionally, President Prabowo has prohibited the Red and White Cabinet from holding ceremonial events. He stated that the budget for such activities has been eliminated.

"I want to emphasize that we will not allocate funds for ceremonies, celebrations of anniversaries, or similar events," Prabowo added. "Anniversary celebrations should be simple, held in the office, and if necessary, only 15 people should attend in person while the rest join via video conference."

Previously, ministries and agencies in the Red and White Cabinet were instructed to reduce their travel budgets by at least 50 percent from the remaining budget for 2024. This instruction, outlined in letter number S-1023/MK.02/2024 dated November 7, 2024, and signed by Finance Minister Sri Mulyani Indrawati, aims to follow up on President Prabowo Subianto's directives during the Cabinet Meeting on October 23 and November 2024.

In her letter, Sri Mulyani emphasized that the reduction in travel budgets should still ensure the effectiveness of achieving program targets for each ministry and agency. "The travel budget should be reduced by at least 50 percent from the remaining budget for Travel Expenses in the 2024 DIPA, effective from the date of this letter," stated point 2 of the letter, as quoted on Monday (November 11, 2024).

However, if there is a need for travel budget funds after savings have been made, the minister or head of the agency can request permission to use the remaining funds from the Ministry of Finance. Additionally, the State Treasurer exempts the budget cut policy for travel expenses for units that require travel for their main duties. This exemption also applies to regular travel expenses, such as those for agricultural extension workers, information officers, and religious counselors, as well as travel costs for embassies or attachés.

Tag: Cut Travel Budget Prabowo Subianto Red And White Cabinet