REPUBLIKA.CO.ID, JAKARTA - Coordinating Minister for Economy Chairul Tanjung has said the new government under (president elect) Joko Widodo (Jokowi) is expected to raise the prices of subsidized oil fuels next month.

"Information I have from the economic team of the next government, thanks God, that they will raise the price of fuel in November," Chairul said after attending a ceremony of the National Economic Committee on Economic Prospects in 2015 on Friday night.

With the price hike, the use of fuel was expected to decline that the consumption of both premium gasoline and diesel oil would not exceed the quota of 46 million kiloliters for this year, he said.

"Demand for subsidized premium gasoline and diesel oil would decline," he said.

He said if the fuel prices were raised, the new government was the one to make program of compensation for the economic and social impacts. The present government would only allocate a compensation fund of 5 trillion IDR in the revised 2014 state budget, he added.

Jokowi, who is to be installed on Oct 20 has indicated plan to raise the price of subsidized BBM, but he had not given figure or time .

"It is still being calculated and the time is yet to be fixed," Jokowi once said.

Some economists said it would be better if Jokowi raised the prices before the end of this year to show to the market the commitment for structural reform.

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