Prohibition

PRESIDENT Joko Widodo's instruction banning civil servants from holding meetings in hotels has yet to be issued, but ministers and governors have already announced the policy after they gathered at the State Palace, Jakarta last Tuesday. In the coordination meeting, President Jokowi expressly banned government activities from being organized other than in ministerial or institutional facilities.

This is a money-saving move, because we have a budget deficit. Tax revenues from the 2014 Amended State Budget as of September stood at only Rp663 trillion from a target of Rp1,072.38 trillion. Savings have been introduced since the time of President Susilo Bambang Yudhoyono, who managed to cut spending by Rp43 trillion. Given that spending on fuel subsidies is still very high, President Jokowi will have to make more savings. One way is a ban on government activities in hotels.

November 18, 2014