Indonesian Political, Business & Finance News

Home Affairs Minister Affirms Government's Readiness to Strengthen Oversight and Optimise Special Autonomy Funds

| | Source: KOMPAS Translated from Indonesian | Politics
Home Affairs Minister Affirms Government's Readiness to Strengthen Oversight and Optimise Special Autonomy Funds
Image: KOMPAS

Home Affairs Minister Muhammad Tito Karnavian has affirmed that the government is prepared to strengthen oversight and optimise the implementation of Special Autonomy Funds (Otsus) in several regions.

Tito conveyed this to journalists after a Working Meeting and Hearing with Commission II of the House of Representatives (DPR) regarding Otsus for Papua, Otsus for Aceh, and the special status of the Special Region of Yogyakarta (DIY) in the Commission II Meeting Room at the DPR RI Complex, Senayan, Jakarta, on Monday (13/4/2026).

He stated that the Ministry of Home Affairs (Kemendagri) was invited to the working meeting with Commission II of the DPR RI to provide updates on developments in Otsus region development.

The main focus of the discussion covered the distribution and management of Otsus funds in Papua and Aceh Province, as well as Special Funds (Danais) in DIY.

Furthermore, he explained that the meeting with Commission II of the DPR RI resulted in several conclusions.

First, Commission II of the DPR RI requested that the government, particularly Kemendagri, strengthen oversight and guidance for the special regions discussed in the meeting to ensure development proceeds more optimally and swiftly.

Second, Commission II of the DPR RI urged the central government to optimise the functions of the Papua Development Acceleration Agency to enhance economic growth in the region.

According to him, these discussions need to be conducted promptly given that the Otsus scheme is nearing the end of its term.

“Regarding the Otsus budget in Aceh, which has been running for 20 years. Starting from 2008, for 15 years it was 2 percent of the national General Allocation Fund (DAU). Then, for the next five years, 2023-2027, it is 1 percent of the national DAU. This can be extended as is the case with Papua,” Tito said.

Nevertheless, he emphasised that the implementation of such policies heavily depends on the state’s financial capacity. Additionally, the uncertain global geopolitical situation is also a consideration.

“Once again, all of this depends on the agreement between the government and the DPR later. Whether a revision of the Aceh Government Law is carried out, and then everything very much depends on the state’s financial capacity,” Tito stated.

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