The decision by President Prabowo Subianto to limit the implementation of the 12 percent Value Added Tax (VAT) solely to premium goods has significantly contributed to the public's satisfaction with the performance of the Prabowo-Gibran administration during its first 100 days. This was stated by Ignatius Kristanto, Research Manager at Litbang Kompas, during an interview on Kompas.com, aired on Monday, January 20, 2025. "Previously, there was considerable public uproar, anger, and protests. Ultimately, the 12 percent VAT was revoked for all goods and services and is now only applicable to premium items," Kristanto noted.
"This is what has made a lasting impression on the public," he continued. Furthermore, Prabowo has been perceived as implementing a range of other populist policies during his initial 100 days in office, including the distribution of social assistance in November 2024, the provision of free nutritious meals, and promises to increase teacher allowances.
In terms of law enforcement, the first 100 days of the Prabowo-Gibran administration have also been viewed positively. "The Corruption Eradication Commission (KPK) has resumed its activities, including operations and other initiatives. This aligns with the speeches delivered by Mr. Prabowo. It is these populist policies that have greatly enhanced public sentiment," Kristanto remarked. In addition to these populist measures, the satisfaction ratings for Prabowo-Gibran's performance have also been bolstered by their electoral success in the 2024 presidential election, where they garnered 58 percent of the votes. This figure serves as a strong foundation for Prabowo-Gibran to commence their governance.
"The high electoral support, coupled with the implementation of populist policies in the final month, has led to an extraordinary increase in public satisfaction," Kristanto explained.
According to a survey conducted by Litbang Kompas, the public's satisfaction level regarding the performance of Prabowo Subianto and Gibran Rakabuming Raka during their first 100 days in office stands at 80.9 percent, while 19.1 percent of respondents expressed dissatisfaction with the Prabowo-Gibran administration's efforts.
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