Ada Pertanyaan? Hubungi Kami 
Ada Pertanyaan? Hubungi Kami Fitri Novia Heriani, Robert Sidauruk
In order to address current concerns regarding fuel subsidy’s negative impact on investment, Faisal Basri, an economist, is of view that the Government should increase fuel prices.
He explained that if the Government keeps the current subsidized fuel prices, it is certain that the State Budget (APBN) will suffer.
“We have reached maximum allocation for fuel subsidy, the increase in fuel prices must take place in order to save the State Budget,” Faisal added.
He further noted that the subsidy for fuel prices that was intended to assist the poor has failed to achieve its objective. Therefore, Faisal suggested that the Government should change the orientation of the subsidy policy.
Faisal reminded that the increase of the fuel prices must still assist low-income people. He explained that the budget to subsidize fuel prices could be allocated toward the development of the agriculture sector.
“Currently, subsidy allocation for fuel prices has reached IDR 300 billion, in contrast, subsidy for agriculture sector is only IDR 2 billion,” he asserted.
By supporting agriculture sector with subsidies, communities will benefit from reduced food prices, Faisal argued.
Similar to Faisal, Ryan Kiryanto, also an economist, supported the option to increase fuel prices. He even suggested that such increase should take time in May instead of June.
“The Government must increase price of fuel, otherwise, high rate of inflation will be a great burden for the society,” he explained.
Meanwhile, Indonesia Local Business Association (HIPPI) disagreed with the suggestion to increase fuel prices.
Sarman Simanjorang, Head of HIPPI, said that such increase in the near future is unreasonable, as people not only have to face the increased price of fuel, but also the increase on food before the month of Ramadan.
(hot/jt)
Fitri Novia Heriani, Robert Sidauruk
In order to address current concerns regarding fuel subsidy’s negative impact on investment, Faisal Basri, an economist, is of view that the Government should increase fuel prices.
He explained that if the Government keeps the current subsidized fuel prices, it is certain that the State Budget (APBN) will suffer.
“We have reached maximum allocation for fuel subsidy, the increase in fuel prices must take place in order to save the State Budget,” Faisal added.
He further noted that the subsidy for fuel prices that was intended to assist the poor has failed to achieve its objective. Therefore, Faisal suggested that the Government should change the orientation of the subsidy policy.
Faisal reminded that the increase of the fuel prices must still assist low-income people. He explained that the budget to subsidize fuel prices could be allocated toward the development of the agriculture sector.
“Currently, subsidy allocation for fuel prices has reached IDR 300 billion, in contrast, subsidy for agriculture sector is only IDR 2 billion,” he asserted.
By supporting agriculture sector with subsidies, communities will benefit from reduced food prices, Faisal argued.
Similar to Faisal, Ryan Kiryanto, also an economist, supported the option to increase fuel prices. He even suggested that such increase should take time in May instead of June.
“The Government must increase price of fuel, otherwise, high rate of inflation will be a great burden for the society,” he explained.
Meanwhile, Indonesia Local Business Association (HIPPI) disagreed with the suggestion to increase fuel prices.
Sarman Simanjorang, Head of HIPPI, said that such increase in the near future is unreasonable, as people not only have to face the increased price of fuel, but also the increase on food before the month of Ramadan.
(hot/jt)