The Government Affirms The Commitment Of The State Budget To Regions Not Only Through TKD

Minister of Finance Sri Mulyani Indrawati dismissed accusations in the 2026 State Revenue and Expenditure Budget Draft (RAPBN) not to attach importance to regional development.

He emphasized that the APBN remains committed to regional development and is not solely reflected in the value of transfers to the regions (TKD).

Sri Mulyani explained that various central government expenditures also directly provide benefits to people in various regions.

"The central government's spending of Rp1,376.9 trillion is enjoying the region. The people, including the local government, are important programs in the regions to be able to serve and improve the welfare of the people in the regions," he said at the Committee IV Working Meeting with the Minister of National Development Planning/Head of Bappenas, Minister of Finance and Governor of BI, Tuesday, September 2.

He explained that a number of large programs directly target local communities such as the Family Hope Program (PKH) of IDR 28.7 trillion, which reaches 10 million poor families.

Next, education assistance is no less big, such as the Indonesia Smart Program (PIP) and the KIP Lecture with a budget of IDR 63.6 trillion, as well as basic food assistance worth IDR 43.8 trillion for 18 million beneficiary families.

Furthermore, in the health sector, the APBN budget of IDR 69 trillion is used to support the health insurance of the poor and workers receiving wages, including free health checks worth IDR 7.3 trillion.

The government has also allocated Rp. 22.5 trillion for the revitalization of schools and madrasas, as well as Rp. 27.9 trillion for superior public schools and schools.

In addition to social assistance and education, infrastructure development in the regions is also a priority.

Funds of IDR 24.3 trillion are allocated for road and bridge maintenance, IDR 48.7 trillion for housing development, IDR 12 trillion for dams and irrigation, and IDR 6.6 trillion for the development of fishing villages and the national plantation industry.

Furthermore, the mother and child health program through MBG received an allocation of IDR 335 trillion.

On the other hand, professional allowances for non-civil servant teachers and lecturers were given amounting to Rp63.5 trillion, as well as food security support through Bulog reaching Rp28.5 trillion.

Meanwhile, for subsidies, the government has prepared IDR 381.3 trillion for energy and compensation, and continues to provide non-energy subsidies such as fertilizers and People's Business Credit (KUR) for farmers and MSME players in the regions.

Sri Mulyani juga menambahkan penguatan pembangunan daerah dilakukan melalui Instruksi Presiden (Inpres) tahun 2025–2026, dengan alokasi anggaran sebesar Rp13,6 triliun.

Program tersebut mencakup pengoptimalan lahan di 13 provinsi, rehabilitasi jaringan irigasi, hingga pembangunan jalan daerah dengan anggaran Rp10,2 triliun yang tersebar di 37 provinsi.

"Nanti pelaksanaannya pasti kementerian lembaga sesuai instruksi presiden harus terus bersinergi koordinasi komunikasi dengan daerah. Ini supaya tidak menikmati persepsi seolah-olah anggaran untuk daerah dipotong atau diturunkan karena uang yang ke daerah itu sebetulnya meningkat," pungkasnya.

Sri Mulyani also added that strengthening regional development was carried out through the Presidential Instruction (Inpres) in 2025-2026, with a budget allocation of IDR 13.6 trillion.

The program includes optimizing land in 13 provinces, rehabilitating irrigation networks, and building regional roads with a budget of IDR 10.2 trillion spread across 37 provinces.

"Later on, the implementation will definitely be the ministry of institutions according to the president's instructions, we must continue to synergize in coordination of communication with the regions. This is so as not to enjoy perceptions as if the budget for the regions is cut or lowered because the money to the regions actually increases," he concluded.