Indonesia Eyes Budget Cuts, Efficiency in Free Meal Program After Review

Indonesia's government is reassessing its Free Nutritious Meal (MBG) program, signaling a potential shift toward greater fiscal efficiency and operational effectiveness. Minister of State Secretary Prasetyo Hadi indicated that ongoing evaluations of the program's management could lead to a reduction in its overall budget.

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From the calculations, we believe there will be a reduction in the budget needed for this Free Nutritious Meal program.

"From the calculations, we believe there will be a reduction in the budget needed for this Free Nutritious Meal program," Prasetyo told reporters in Jakarta. This assessment stems from a comprehensive review aimed at ensuring the program's financial needs are calculated more accurately and its implementation on the ground is enhanced.

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That's why we are asking for time to also calculate with the Ministry of Finance and with the National Nutrition Agency. So from the restructuring process, we can calculate more carefully what the actual total budget needed for this nutritious meal program is.

The government is collaborating with the Ministry of Finance and the National Nutrition Agency to finalize these budget figures. Prasetyo emphasized that the review extends beyond financial aspects to encompass the program's operational management. The goal is to complete this restructuring phase within approximately one month, ensuring that ongoing activities are not disrupted.

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We target for this one month to be finished, but of course, everything has its dynamics, so the first thing we emphasize is that what is already running must continue, there must be no disruption. Everything related to improving MBG, we will look at, not just the motor issue, we will look at everything else.

Furthermore, the evaluation will scrutinize the performance of Nutrition Service Fulfillment Units (SPPGs). Facilities that fail to adhere to operational standards or are located in areas with surplus service capacity may face closure. Prasetyo stressed that compliance with established Standard Operating Procedures (SOPs) is paramount, regardless of the facility's ownership or political affiliations. The focus remains on ensuring adherence to regulations and operational integrity.

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The direction is certainly towards that, but we cannot say today whether it will be closed or not, it is being restructured and reviewed, its condition is inventoried. So, we cannot immediately draw conclusions based solely on numbers, we look at each condition differently.