Dian Kusumo
IDXChannel – The government estimates that the increase in excise tax on tabocco products will not push inflation or supress economic growth. Minister of finance Sri Mulyani Indrwati said that the tobacco excise tax rate policy for 2023 has been determined whereby the weighted average excise rate increase for 2023 and 2024 is 10 percent.
Regrading the impact, Sri Mulyani ensured that the policy of increasing cigarette excise rates would not have a major effect on inflation or suppress economic growth. The reason is that the impact of the ecise tax policy on inflation is limited only 0.1 percent to 0.2 percent.
Meanwhile the impact on economic growth was minus 0.01 percent to minus 0.02 percent.
“The impact of inflation is very limited, namely 0.1 percent to 0.2 percent and the impact on economic growth is also very minimal, namely 0.01 percent to 0.02 percent. We hope that with this projection, the target for tobacco excise revenue in the 2023 state budget which has been decided together with the DPR can be reached Rp232.58 trillion,” Sri Mulyani said.
"Watch our show IDX Channel Official Youtube on the Market Headlines Program, Tuesday (13/12/2022) with the theme Tobacco Excise Rates Have No Significant Impact on Inflation.
