Indonesian Political, Business & Finance News

Additional Budget for Seven Ministries Disbursed to Rebuild Sumatra, Tito Urges Immediate Fieldwork

| Source: TEMPO_ID Translated from Indonesian | Economy

The process of disbursing the Additional Budget (ABT) for ministries and agencies conducting post-disaster rehabilitation and reconstruction in Sumatra is progressing. As of 1 July 2026, seven ministries and agencies have received additional budget ceilings from the Ministry of Finance.

Tito Karnavian, Chair of the Task Force for the Acceleration of Post-Disaster Rehabilitation and Reconstruction (Satgas PRR), stated that the task force will continue to oversee the budget disbursement process while ensuring that the ministries and agencies that have received the additional allocations immediately commence fieldwork. “We continue to push for the disbursement from the Ministry of Finance to the ministries and agencies. And we are pushing the ministries and agencies that have received it to start working quickly in the field,” Tito said in a statement on Thursday, 2 July 2026.

He also requested that the National Post of the PRR Task Force compile details of programmes that have received funding, broken down by target regency and city. This data will be used in coordination meetings with local governments so that each region knows which programmes will be executed by each ministry during 2026. “Try to obtain the programme activities of the ministries and agencies that have received the budget from the Ministry of Finance, and break down the data by target regency/city. Later we will hold a meeting with the disaster-affected regions so they know what will be done by the ministries and agencies in 2026,” he said.

The seven ministries and agencies that have received additional budget allocations from the Ministry of Finance are the Central Statistics Agency (BPS), the Ministry of Public Works, the Ministry of Transportation, the Ministry of Social Affairs, the Ministry of Health, the Ministry of Housing and Settlement Areas (PKP), and the Ministry of Primary and Secondary Education. This number has increased compared to 11 June 2026, when only four ministries and agencies had received the funds. Meanwhile, 23 other ministries and agencies are still undergoing review, document verification, and data adjustment processes at the Ministry of Finance. Two other ministries are still completing internal verification and document approval.

One of the ministries that has entered the implementation phase is the Ministry of Housing and Settlement Areas (PKP). The ministry has allocated Rp 2.2 trillion to accelerate the construction of permanent housing (Huntap) in Aceh, North Sumatra, and West Sumatra. Minister of Housing and Settlement Areas Maruarar Sirait said his ministry has prepared all the necessary requirements so that the construction of permanent housing can commence immediately once the budget is available. “We have prepared the policies, human resources, designs, and the budget,” Maruarar said. To support field implementation, the Ministry of PKP has deployed 57 personnel in Aceh, 35 personnel in North Sumatra, and 30 personnel in West Sumatra.

The acceleration of this programme is part of the implementation of the Coordinating Minister for Human Development and Culture Decree Number 25 of 2026 concerning the Master Plan for the Acceleration of Post-Natural Disaster Rehabilitation and Reconstruction (Renduk PRRP) for Sumatra. The decree serves as the basis for coordination among 32 ministries and agencies in executing rehabilitation and reconstruction programmes across 53 affected regencies and cities.

The PRR Task Force is also mandated to coordinate the implementation of ministerial and agency programmes with local governments, control the execution of activities in the field, and resolve various obstacles so that recovery projects proceed according to plan. The Chair of the PRR Task Force is also required to submit an evaluation report every two months to President Prabowo Subianto.

The Renduk PRRP Sumatra serves as a roadmap for rehabilitation and reconstruction, containing 11,512 activities with a total budget requirement of approximately Rp 100.16 trillion for the 2026–2028 period. The programme includes the construction of permanent housing, rehabilitation of schools and health facilities, construction of permanent roads and bridges, river normalisation, rehabilitation of landslide-affected areas, and economic recovery through support for MSMEs, fishermen, and traditional markets.

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