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Minister greenlights regional govts to have meetings in hotels, restaurants
Home Minister Tito Karnavian urged regional governments to choose struggling hotels and restaurants, so government activities could help revive those businesses.
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Home Minister Tito Karnavian speaks at a press conference related to the government's preparation for the 2020 simultaneous regional elections in Palu, Central Sulawesi, on July 17, 2020. (Antara/Mohamad Hamzah)
D
espite President Prabowo Subianto’s push for austerity measures, Home Minister Tito Karnavian has permitted regional governments to resume business trips and hold official meetings in hotels and restaurants.
Tito argued that the move could help revive the meeting, incentive, convention and exhibition (MICE) sectors in regions across the archipelago, which were struggling to stay afloat following the Prabowo administration’s cutbacks on official travel and off-site meetings.
“Regional governments are allowed to hold events in hotels and restaurants. I guarantee it, because I’ve spoken directly [with President Prabowo],” Tito said during a regional development planning meeting (Musrenbang) in West Nusa Tenggara on Wednesday, as quoted by Antara.
However, Tito did not mention any plans to undo the spending cuts that have impacted transfers to regional governments, which are a major source of their revenue.
He added that the recent Rp 50 trillion (US$3.07 billion) cut in central government transfers to 552 regions was relatively minor and should not significantly affect their operational budgets, meaning that they could still afford activities in hotel and restaurants.
“You can cut, but don’t stop entirely. Keep organizing events in hotels and restaurants. Choose those that are struggling, so the activities can help bring them back to life,” he urged, while also cautioning against excessive spending.
Read also: Travel is back, but a rise in local trips highlights economic stress
