Home Affairs Minister Balances Oversight with Provision of Incentives
Minister of Home Affairs (Mendagri) Muhammad Tito Karnavian stressed the importance of balancing oversight with the provision of incentives in the development of local governments (Pemda). This approach is considered key to driving sustainable improvements in regional performance.
The development of local governments (Pemda) requires a balance between oversight and incentives. This method is seen as crucial for optimising and sustaining regional performance.
This was conveyed by Minister of Home Affairs (Mendagri) Muhammad Tito Karnavian at the 2026 Regional Kalimantan Evening of Appreciation for Outstanding Local Governments, held at the Ballroom of Hotel Platinum in Balikpapan, East Kalimantan, on Tuesday (5/5).
In his address, Tito acknowledged that local government development has so far tended to focus more on oversight aspects. Moving forward, this approach needs to be balanced with the provision of awards as a form of motivation for the regions.
“To be honest, during my first five years as minister, I thought, we’ve been using the ‘stick’ all the time. Like the saying with the rabbit, there’s ‘stick and carrot’. Why are we always just scaring them with the ‘stick’, where’s the carrot?” he said.
According to him, balancing oversight and incentives is important in Indonesia’s government system, which does not fully implement complete decentralisation. He described the current system as partial decentralisation, where the central government still plays a role in guiding and controlling the regions.
As part of these efforts, the Ministry of Home Affairs (Kemendagri) continues to strengthen regional development programmes, including through the provision of appreciation to local governments demonstrating good performance.
Tito emphasised that these awards are expected to serve as a trigger for local governments to continuously improve their performance and introduce innovations in governance.
Furthermore, he also mentioned the increase in the Ministry of Home Affairs’ budget for 2026 as an opportunity to strengthen a more balanced development approach between oversight and incentives.
“I immediately conveyed this internally, I said, let’s go ahead, keep going (to provide incentives to the regions). I’m confident we can do it,” he asserted.
On this occasion, the Ministry of Home Affairs awarded recognitions to outstanding local governments as part of efforts to encourage improved performance and innovation in the regions.
The awards were given based on four main categories: reduction in unemployment rates, tackling poverty and stunting, inflation control, and creative financing.
In the unemployment reduction category, at the regency level, North Barito Regency received First Place, followed by Tabalong Regency and Murung Raya Regency.
At the city level, Bontang City received First Place and Palangka Raya City Second Place, while at the provincial level, North Kalimantan Province received the award.
In the poverty and stunting alleviation category, Tapin Regency became First Place at the regency level, followed by Lamandau Regency and South Hulu Sungai Regency. At the city level, Banjarbaru City received First Place and Palangka Raya City Second Place, while at the provincial level, South Kalimantan Province received the award.
Next, in the inflation control category, Sukamara Regency received First Place at the regency level, followed by Gunung Mas Regency and Pulang Pisau Regency. At the city level, Samarinda City became First Place and Banjarmasin City Second Place, while at the provincial level, West Kalimantan Province received the award.
Meanwhile, in the creative financing category, Kotabaru Regency received First Place at the regency level, followed by South Hulu Sungai Regency and West Kotawaringin Regency. At the city level, Samarinda City received First Place and Palangka Raya City Second Place, while West Kalimantan Province again received the award at the provincial level.
As a form of appreciation, the Ministry of Home Affairs provided fiscal incentives to the winners, namely Rp1 billion for Third Place, Rp2 billion for Second Place, and Rp3 billion for First Place and provincial level.