Good News For Regional Heads, Sri Mulyani's Subordinates Ensure The Portion Of The 2022 TKDD Budget Does Not Change

JAKARTA - The government through the Ministry of Finance (Kemenkeu) said that the budget allocation for Transfers to Regions and Village Funds (TKDD) for the 2022 period was not much different from this year's amounting to Rp770 trillion.

This assertion was conveyed by the Deputy Minister of Finance (Wamenkeu) Suahasil Nazara during a Working Meeting with Committee IV of the Regional Representatives Council (DPD).

"The components include the Revenue Sharing Fund, which has increased due to an increase in commodity prices, so we estimate that there will be an increase in the Profit Sharing Fund in the future," he said as reported by the official website, Tuesday, August 31.

According to Suahasil, the government is still finalizing the General Allocation Fund (DAU) on the weight of the basic allocation, the weight of the physical needs variable, and the weight of the regional fiscal variable.

"Next year, it is estimated that it will not be far from this year's IDR 378 trillion General Allocation Fund. Hopefully later this DAU will also become the new basis for the percentage of special autonomy funds,” he said.

Furthermore, Suahasil said that if the Physical Special Allocation Fund (DAK) in the 2022 RAPBN was allocated Rp60.9 trillion. However, this figure is still under discussion with the DPR's Budget Board. Meanwhile, Non-Physical DAK is expected to support employment and investment.

“This special non-physical allocation fund includes school operational assistance, administrative services (administration and population), as well as health operational assistance (BOK). This becomes very important for the BOK when we are dealing with COVID-19," he explained.

Then, he hopes that the regional incentive fund (DID) of IDR 10 trillion in 2022 can boost the performance of the Regional Government in improving APBD governance, improving basic public services and improving the regional economy.

"We hope that this can still be an incentive for regions to strengthen assistance, supervision, and also strengthen things that can have an impact on improving APBD governance, public services, and community welfare," he said.

Suahasil added, the use of the Village Fund in 2022 remains focused and prioritized for social protection in the form of Village BLT, village economic recovery, and support for village priority sector programs.

"The general policy of the Village Fund next year is to continue to use 8 percent for handling COVID-19, we hope it will be used for health. How in a crisis situation, the Village Fund can also help monitor the pandemic, monitor health in all villages," he concluded.