North Sumatra Affected By Transfer Fund Adjustment Of IDR 1.1 Trillion

North Sumatra Governor Bobby Nasution revealed that North Sumatra Province was affected by adjustments to transfer funds to regions or TKD from the central government amounting to Rp1.1 trillion in 2026.

"Especially in 2026, North Sumatra Province will be subject to adjustments to transfer funds from the center, which is Rp1.1 trillion," Bobby said as quoted by ANTARA, Wednesday, October 8.

Although there has been an adjustment of transfer funds from the central government, he continued, this is not an excuse for the North Sumatra Provincial Government (ASN) with low performance, especially for 177 administrator and supervisory officials who were just appointed today.

Earlier on Tuesday (7/10), as many as 18 governors who are members of the All-Indonesian Provincial Government Association (APPSI) held a meeting with the Minister of Finance Purbaya Yudhi Sadewa to protest against the policy of cutting transfer funds to the regions (TKD) in 2026.

This meeting also discussed various actual issues regarding the TKD policy, profit-sharing funds (DBH), and fiscal synergy between the central and regional governments to support national development.

"However, budget adjustments do not mean that they cannot work. Instead, their work is required to be more effective and efficient," said Bobby.

The governor also advised newly appointed officials to maintain cohesiveness and collaborate to support the vision and mission of the central, provincial and district governments.

"It has to be internal, there should be no more sectoral egos because programs do not rely on one OPD (regional apparatus organization) only, need support and strength from other OPDs," said Bobby.

The governor also said that this inauguration is an important part of the process of coaching and refreshment government organizations aimed at strengthening effective bureaucratic governance.

"Of the 177 officials who were inaugurated, 90 percent of the recommendations from the leaders in their respective OPDs were more than 90 percent. We are services, only clothes that are cool, wear left right pins. Our boss is the people of North Sumatra," said Bobby.

Finance Minister Purbaya Yudhi Sadive explained the reason for the government to cut transfer funds to the regions, while emphasizing that net regional budgets actually increased through programs allocated by the central government.

"Some regents from several places came here. At first they wanted to meet me all, I just met representatives," said Purbaya Yudhi Sadive at the State Finance Building (GKN) Surabaya, East Java, Thursday (2/10).

The Minister of Finance explained that the TKD cuts were carried out due to budget discrepancies in the regions. The central government wants to optimize the performance of using the budget to be more effective and clean.

According to Purbaya, although TKD fell by Rp200 trillion, the program for regions increased significantly from Rp900 trillion to Rp1,300 trillion.

"So, the economy in the regions actually does not decrease in money, instead it is added net," he said.