Kamis, 21 Agustus 2014

Removal of Fuel Subsidy Rated emphasis Upcoming Government


Policy restrictions on the sale of subsidized fuel as solar restrictions which were introduced some time ago considered to be effective in suppressing the subsidy which has been a burden in the State Budget (Budget). 


Executive Director of the Center of Reform on Economics (CORE) Indonesia, said Hendri Saparini, restrictions on the supply of subsidized fuel will also make inflation rise, the same as the government reduce or eliminate fuel subsidies. 

"By limiting supply, if I were it not fit. Trimming supply increase inflation although definitely not planned and designed to increase inflation," he said in CORE Discussion Media, in Tebet, South Jakarta, Wednesday (20/08/2014). 

However, according to him is very unfair if the next government was forced to abolish fuel subsidies, causing a rise in inflation which will have an impact on slowing economic growth. 

"We agreed the fuel subsidy has been taking a large portion of the state budget, but this is a mistake for many years. Government to come must be very heavy," he said. 

Therefore, if the government wants to reduce or eliminate fuel subsidies will also be accompanied by policies that are fair to the people that are not too heavy face pengingkatan inflation. 

"So how to make the design of a fair policy. Policy and often unfair, as Raskin should be allocated to the 25 million households, but that may just 15.5 million. Anyway do not get distracted buying power. The when, depends on what policy options are offered . Goal we reduce the burden on the state budget without burdening the people, "he said

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