Ministry of Health’s 2020 Financial Report
Sandi Bimasena
F0321206
Public Sector Accounting
Class I

2020 Financial Report
- Income Statement
- Statement of Financial Position

Problems
From the income statement we can identify that there is a slightly different in the
estimated budget and the realization of the budget. In the 2020 expense there is a minus of 5
billion rupiah that is expected to be used, but there is no explanation where this 5 billion
rupiah goes to. Although this financial report is for the public and in the simple form, but I
think that because the ministry of health is part of the public sector and the society has to
know where their money goes to.
Another problem in this financial report is the unexpected of over budget. During the
pandemic, the ministry of health has to allocate more money to spend in order to cover and
handle the COVID-19 case. This unexpected case was not well prepared by the ministry of
health and made the ministry of health’s budget to expand

Identify the activity of ministry annual report
In 2020, the ministry of health focusing on spending more money in the COVID-19
cases. With over 100 billion rupiah budget, they tried to recover from the downfall of
COVID-19 by giving subsidies and controlling the health’s equipment price.

What is the standard that the ministry of health use
Based on Peraturan Pemerintah Nomor 71 Tahun 2010 ministry of health’s financial
report is based on this regulation about public sector accounting standard.

Analyze the budget
During 2020, the ministry of health suffers a loss of 90 billion rupiah with the total
spending of 102 billion rupiah only for the COVID-19 case. The ministry of health spends a
lot of budgets in the handling of COVID-19 with over 20 sectors only focusing on COVID19. The ministry also receives 107 billion rupiah from the APBN for the annual needs of the
health ministry.

What is the APBN, non APBN
The ministry of health receives 107 billion rupiah that is divided into 420 working
units that is under central office, local office, and deconcentration. This 107 billion rupiah is
allocated to the ministry’s expenditures. The non APBN budget from the ministry of health is
the budget for the COVID-19 case with over 102 billion rupiah. This budget is not from the
APBN and directly distributed to the COVID-19 case.

Recording system
Based on the financial report, the ministry of health uses the cash basis recording
system for the realization report and use accrual basis or the statement of financial position,
operational report, and equity report.