Politics · Indonesia · 12 hrs ago
Prabowo Promises Larger Transfers to Indonesia’s Regions
Indonesian President Prabowo Subianto promised larger central-government transfers to regional governments at a meeting in Jakarta on October 22.
The promise came as the government had cut the 2026 regional transfer budget by Rp226 trillion, leaving a budget ceiling of about Rp693 trillion.
That ceiling is below the Rp919.87 trillion initially set for 2025.
Prabowo told governors, regents and mayors not to worry, saying regional funding would be greater during his presidency than before.
He also said he expected to distribute more money next year, but gave no figures for the planned increase.
The funding is intended to strengthen economic potential across Indonesia’s regions.
Coordinating Minister for Economic Affairs Airlangga Hartarto also asked Prabowo to consider incentives for regional governments that improve public access to financial services.
President Prabowo Subianto promised regional leaders that central government transfers to their provinces and districts would grow during his presidency.
He said he expected the government to distribute even more money to regions next year.
The pledge came as the 2026 Transfer to Regions budget allocation had been reduced by Rp226 trillion to Rp269 trillion.
Coordinating Minister for Economic Affairs Airlangga Hartarto asked Prabowo to consider incentives for regional governments that expand public access to finance.
- Who
- President Prabowo Subianto made the pledge to regional leaders.
- What
- He promised larger central government transfers to regions and said they would continue to expand.
- When
- October 22, 2026. He said he expected transfers to be higher next year.
- Where
- The 2026 National Coordination Meeting of the Regional Financial Access Acceleration Team in Kemayoran, Central Jakarta.
- Why
- Prabowo said the transfers would strengthen economic potential across the country.
This story does not have two clearly opposing sides.
The initial ceiling for the Transfer to Regions budget was set at Rp919.87 trillion.
The government reduced the allocation by Rp226 trillion to Rp269 trillion, resulting in a budget ceiling of around Rp693 trillion.
At a national coordination meeting in Kemayoran, Prabowo promised larger transfers to regions and said he expected to distribute more the following year.
- Pledge
- Prabowo promised larger transfers to regional governments during his presidency.
- Next year
- Prabowo said he believed the government would distribute even more.
- 2026 allocation reduction
- Rp226 trillion, to Rp269 trillion.
- 2026 budget ceiling
- Around Rp693 trillion, down from the initial Rp919.87 trillion set for 2025.
- Meeting location
- JIExpo Kemayoran, Central Jakarta.
What people are saying
We are not reducing funds to your districts. I will prove later, the money flowing to your districts, to your provinces, will be much greater during my presidency than before.
Next year, I believe we will distribute even more.
We thank all regional governments, and of course, if these regional governments perform well, hopefully, Bapak President can direct that they may be given incentives.