- A planned value-added tax (VAT) hike set for January 1, 2025, may be delayed by 2-3 months.
- The government aims to implement social aid to sustain economic activity.
- Luhut Pandjaitan, head of the National Economic Council, stated the postponement is “almost certain.”
- President Prabowo Subianto will make the final decision in upcoming government meetings.
- The President seeks to reduce the financial burden on citizens and is focused on effective fund allocation for economic stimulation.
- Proposed aid includes covering electricity bills for certain households instead of direct cash transfers to prevent misuse.
- Households with electricity supply capped at 1,200 or 1,300 watts may receive a waiver on their bills for 2-3 months.
- Luhut mentioned that there are sufficient funds in the state budget for this initiative, with hundreds of trillions of rupiah available.
- The President aims for more efficient, effective, and targeted aid distribution.
Source: thejakartapost.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
