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Denpasar's Unforeseen Expenditure Budget Slashed by 64%, PSI-NasDem Faction Fears Insufficient Emergency Funds

| Source: DETIK_BALI Translated from Indonesian | Economy
Denpasar's Unforeseen Expenditure Budget Slashed by 64%, PSI-NasDem Faction Fears Insufficient Emergency Funds
Image: DETIK_BALI

The PSI-NasDem faction of the Denpasar City DPRD has highlighted the significant reduction in the Unforeseen Expenditure (BTT) budget within the 2026 Denpasar City Revised Regional Budget (APBD). The BTT budget has been slashed by 64 per cent, dropping from Rp 14.02 billion to Rp 5.05 billion.

This scrutiny was presented by PSI politician Agus Wirajaya during the 16th Plenary Session of the IIIrd Session Period of the Denpasar City DPRD on Thursday (17/09/2026). According to him, the reduction in emergency funds risks undermining the local government’s preparedness in facing unforeseen circumstances.

“We see the risk; amidst weather uncertainty, the potential for natural disasters, and economic dynamics, cutting emergency funds by more than half could threaten the region’s readiness to respond to emergency conditions quickly,” Agus explained during the meeting on Thursday (17/09/2026).

Agus noted that the BTT budget decreased by Rp 8.97 billion, or approximately 64 per cent. He urged the local government to reconsider the budget amount.

The Mayor of Denpasar, I Gusti Ngurah Jaya Negara, subsequently provided an explanation regarding the BTT reduction. He stated that the budget cut was carried out in accordance with the 2025 Ministry of Home Affairs Regulation concerning the 2026 Regional Budget management.

“If there is a budget shortage before the revised regional budget, those needs can still be met through budget shifts within the revised APBD,” he explained.

According to Jaya Negara, budget requirements resulting from emergency conditions after the Revised APBD can still be met in the event of force majeure. Such conditions can be reported through budget realisation in accordance with the regulations.

He explained that the BTT reduction was implemented because the 2026 budget execution has only about three months remaining. The government aims to ensure that available funds are used effectively while reducing the potential for excessive Remaining Budget Surplus (SiLPA).

“We carried out this reduction because there are only three months left. We also want to build budget effectiveness. We are suppressing the occurrence of excessive SiLPA,” he elaborated.

“We believe that the figure of Rp 5 billion for the BTT is still sufficient. Hopefully, no force majeure events will occur,” Jaya Negara added.

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