Musrenbangnas 2016: Use the Money Follow Program Approach
Jakarta – The Government of the Republic of Indonesia through the 2017 Government Work Plan (RKP) applies the 
Money Follow Program and increase the efficiency of priority spending for the fiscal year 2017. This was expressed by the Minister of National Development Planning (PPN)/BAPPENAS, Sofyan Djalil when delivering his speech and opening the 2016 National Development Planning Conference (Musrenbangnas) at the Bidakara Hotel, Jakarta, 04/20/2016.
Sofyan Djalil explained that the Money Follow program principle was carried out to secure the allocation of funds for priority programs and increase efficiency for spending on priority programs. Implementation of this approach is carried out by narrowing or focusing on proposed priority programs/activities, integrating various funding sources (Ministries/Agencies, subsidies, grants, Special Allocation Funds, Village Funds and Financing through BUMN), as well as detailed discussions for project preparation. (quotes news source from Bappenas).
"In order for funds to be maximally effective, the nomenclature must be truly clear so as to avoid multiple interpretations," said the Minister of Bappenas, Sofyan Djalil. Ministries/Institutions must also formulate effective cooperation mechanisms, so that integrated development can be realized. In this way, the development program is not only good sectorally, but also beneficial as a whole. This is in line with the principles of development with a holistic, thematic, integrated and spatial approach.
Meanwhile regarding funding, Minister Sofyan Djalil emphasized that the Government has prepared a strategy to get around the limited funds in the 2017 State Revenue and Expenditure Budget (APBN). To overcome this, development projects will be offered to the private sector first. If it cannot be done by the private sector, then a Public Private Partnership (PPP) scheme will be implemented. However, if the PPP scheme does not materialize, the Government will hand over the project to be carried out by BUMN. If the three strategies cannot be implemented, the Government will assign project development to Ministries/Agencies.
Sofyan Djalil further explained that BAPPENAS will try to become a system integrator so that it has a central role in coordinating between Ministries/Institutions and the central and regional governments. So in this case BAPPENAS selects priority programs based on the order in which the most urgent and beneficial for the whole community will be implemented first.
“Priority programs will be ranked, so that if there is a budget, all priority programs will be funded. If there is a change in the APBN so that the budget is reduced, the most urgent priority program will be selected. The lowest priority will be cut. "The sharper the development planning, the fewer distortions that will occur if there is a change from the APBN to APBN-P as is usually the case," said Minister Sofyan Djalil. (Skr/Doc photo : Sukandar, S.Sos, Bappeda Kaltim)
