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Tuesday, December 24, 2013

Jakarta Govt Initiates Non-Cash Transaction System

Jakarta Globe, SP/Deti Mega Purnamasari, December 24, 2013

The Jakarta administration and the Supreme Audit Agency (BPK) on Tuesday signed a memorandum of understanding on a non-cash transaction (NCT) system for the city that is hoped to help prevent instances of corruption among city officials.

Jakarta Governor Joko Widodo, the head of the Jakarta chapter of the BPK, Blucer Rajaguguk, and Eko Budi Wiyono, the president director of Bank DKI, signed the agreement.

“The NTC represents the turning over of a new leaf for the BPK and Jakarta,” Hadi Poernomo, the head of the BPK, said at the signing. “The Jakarta government already has records on all of the financial transactions conducted under its authority in the city. All offices of the Jakarta administration will have to abide [by the new system].”

Hadi said that the application of the system meant that corruption among the ranks of city officials could be reduced. He added that Jakarta will consequently also see its revenues rise.

He said that the system involved online cash transactions, and added that since the system could be centrally supervised, it provided no space for corruption.

Meanwhile, the Jakarta governor said that he will benefit from the system since he will be able to check, in real time, any transaction conducted in any of the city’s offices.

“With the application of the NCT system, the most important thing is that each transaction regarding the city budget, through Bank DKI, can be monitored in real time,” Joko said.

Joko said he was now able to directly check on revenues, bank deposits and money movement occurring in the city’s various government offices.

“The BPK will also be able to monitor the flow of money within the Jakarta government,” he said.

Joko said that although the MoU was only signed on Tuesday, the NCT system had actually already been operating for four days.

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Indonesia’s civil service has long been regarded as inefficient, sapping at least a
 third of the annual state budget just to cover workers’ salaries. (JG Photo/Dana
Kencana)

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