Interior Minister (Mendagri) Tito Karnavian said that regional governments (Pemda) cannot directly ask the central government for a supplementary budget when they are experiencing budgetary difficulties. Tito asked the regional government to first improve budget efficiency before proposing additional funds.
“We will be very careful. Don’t let the regions think: ‘Wow, it’s because there is a complement, just be calm’. No, no,” Tito said after a meeting with the DPR Commission II, at the DPR Building, Senayan, Jakarta, Thursday (30/7/2026).
His party will first analyze the structure of the APBD if there are regions that propose additional budgets. This step was taken to ensure whether or not there were still purchasing positions that could be rationalized.
He gave the example of conditions in East Nusa Tenggara (NTT). According to him, after the Interior Ministry team reviewed the regional budget, it was found that a number of operation, care and maintenance expenses could be saved. The efficiency results are then used to pay the salaries of government employees benefiting from labor agreements (PPPK).
“For example, NTT said it’s not enough. I’m going to bring in a team to look at everything, dissect the expenses. And it turns out that it can be made more efficient through O&M expenses that we think are excessive. And it turns out that this can be used to pay for the PPPK,” Tito said.
Tito said similar measures had also been taken in the town of Tidore Islands, which faced problems paying PPPK salaries.
“Yesterday the Tidore file was busy, wasn’t it? Our team went there, the general director of regional finance sent a team there with the inspector general. By dissecting operational expenses, it turns out that they can also be made efficient, used for shopping,” Tito said.
However, Tito admitted that there were still areas facing problems because the central government’s Revenue Sharing Fund (DBH) had not been fully distributed. According to him, if efficiency is achieved and the DBH deficit is filled, regional budgetary problems can be resolved.
“But he has the DBH, which is the DBH that has not been fully paid by the Minister of Finance. If efficiency is achieved and the DBH is paid by the Ministry of Finance, then there will be no more problems there,” he said.
For this reason, Tito said the government would not immediately accept requests for additional budgets from the regions. He said each proposal would first be evaluated before being decided.
“So we will definitely, if anyone makes a suggestion, write us a letter so that we add a top-up, no. We will open it first, we will operate it and we will announce it to the public,” Tito said.
Following the DPR Commission II meeting with the Ministry of Interior, the Association of Pan-Indonesian Regency Governments (Apkasi), the Association of Pan-Indonesian Municipal Governments (Apeksi) and regional heads, it was agreed to encourage the government to immediately distribute the DBH that is still underpaid to regional governments, in order to overcome the difficulties in paying PPPK salaries.
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