The government has argued the fund to bail out Bank Century came from the Deposit Insurance Agency (LPS), and not from the state fund. However, the initial capital of Rp 4 trillion to set up the LPS came from the state budget, which is made up of 70 percent taxpayer money.
Should the LPS's capital decline to less than Rp 4 trillion due to the costs of salvaging banks, the government is required to inject more capital into the agency from the state budget, according to the LPS law.
The LPS has Rp 18 trillion of managed funds as of July 31, invested in Bank Indonesia certificates and state bonds.
The following is a list of what the Bank Century bailout cost translates into for most Indonesians:
1. The fund can be spent building 13,520 single-story elementary schools with six classrooms outside Jakarta.
2. The fund is almost seven times the Rp 1 trillion that the government allocated to supply schools with US$200 computers.
3. The fund is equal to two Russian-made kilo-class submarines, or 15 Sukhoi Su-30 fighter jets.
4. The fund is the equal to the amount of money the Jakarta administration has allocated to manage waste until 2015.
5. The fund is more than enough to finance the uncompleted Jakarta monorail project, with Rp 1.9 trillion to spare.
6. The fund is equal to the Public Works Ministry's allocation this year to construct irrigation networks for the agricultural sector.
7. The fund is equal to the Public Works Ministry's allocation this year to construct new national-scale roads in Sumatra and Java.
8. The fund is equal to the annual remittances of 50,000 Indonesian migrant workers in Hong Kong.
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