Finance Minister Distributes Additional IDR 4.4 Trillion in Regional Transfers to Three Disaster-Affected Sumatra Provinces
Jakarta – Finance Minister Purbaya Yudhi Sadewa has distributed additional regional transfers (TKD) worth IDR 4.39 trillion to three disaster-affected provinces in Sumatra in late February 2026.
The Head of the Ministry of Finance’s Communication and Information Services Bureau, Deni Surjantoro, explained that the additional TKD allocation was provided to 67 districts across three provinces directly affected by the disaster. Similar assistance was also given to surrounding areas impacted by the disaster, which experienced a reduction in TKD for the 2026 fiscal year compared to 2025 TKD.
“The utilisation of the additional TKD assistance is directed towards supporting local governments in post-disaster recovery, whilst utilising central government funding through emergency response and rehabilitation and reconstruction,” said Deni in a statement on Tuesday, 10 March 2026.
The policy was established through the Ministry of Finance Decision Number 59 of 2026 concerning Adjustment of Revenue-Sharing Fund (DBH), General Allocation Fund (DAU), and Special Autonomy Fund (Otsus) allocation details and disbursement for the 2026 fiscal year, and disbursement of underpayment of revenue-sharing funds up to 2024 for certain regions in Aceh, North Sumatra, and West Sumatra provinces.
The total additional TKD allocation determined by the Finance Minister is IDR 10.65 trillion. The TKD increase in each district is carried out in stages until it meets the difference in the total reduction of TKD allocation in the 2026 State Budget compared to 2025 TKD allocation following the presidential instruction, through additional revenue-sharing funds, general allocation funds, and special autonomy funds.
The Ministry of Finance has planned the disbursement of this additional TKD in three stages: 40 per cent in February and 30 per cent each in March and April.
Previously, as an initial step in supporting disaster response and recovery, Finance Minister Purbaya Yudhi Sadewa also arranged for relaxation of TKD disbursement and use in disaster-affected regions through PMK 102 of 2025. The relaxation included unconditional disbursement and use of earmarked TKD for natural disaster response and post-disaster recovery, as well as relaxation of National Economic Recovery (PEN) programme loan obligations for disaster-affected regions.
The forms of relaxation of PEN programme loan obligations for disaster-affected regions in Aceh, North Sumatra, and West Sumatra encompass three conditions.