Musrenbangnas 2016: Use the Money Follow Program Approach
Jakarta-The Government of the Republic of Indonesia through the Government Work Plan (RKP) in 2017 implemented the
Sofyan Djalil explained that the principle of the Money Follow Program was carried out to secure the allocation of funds in priority programs and improve efficiency for priority program expenditure. Implimation of the approach is carried out by pursing or focusing on priority programs/priority activities, integrating various funding sources (ministries/institutions, subsidies, grants, special allocation funds, village funds and financing through SOEs), and detailed discussions for project preparation. (citing news sources from Bappenas).
"So that the funds can be maximized, the nomenclature must be completely clear so as to drive a double interpretation," said Minister Bappenas, Sofyan Djalil. Ministries/institutions must also formulate an effective mechanism of cooperation, so that integrated development can be realized. Thus the development program is not only good in sectoral, but also beneficial as a whole. This is in line with the principle of development with a holistic, thematic, integrated and spatial approach.
while related to funding, Minister Sofyan Djalil stressed that the government has prepared a strategy to get around the limited funds in the 2017 State Expenditure Budget (APBN). To overcome this, the development project will be offered to the private sector first. If it cannot be done by the private sector, it will use a public private parnership (PPP) public scheme. However, if the PPP scheme is not realized, the government will submit the project to be worked on by BUMN. If the three strategies cannot be carried out, the government will assign project development to the ministries/institutions.
Furthermore Sofyan Djalil explained that Bappenas would try to become a system integrator so that it had a central role in coordinating between ministries/institutions with the central and regional governments. So in this case Bappenas selects priority programs based on which order is the most urgent and beneficial for the whole community to be carried out first.
"For priority programs it will be ranked, so that if there is a budget then all priority programs will be financed. If there is a change in the state budget so that the budget will be reduced, the most urgent priority program will be chosen. (SKR /DOC Photo: Sukandar, S. Sos, Bappeda Kaltim)