Indonesian Political, Business & Finance News

Interior Minister Emphasises Strengthening Oversight and Optimising Special Autonomy Funds for Regions

| Source: CNN_ID Translated from Indonesian | Politics
Interior Minister Emphasises Strengthening Oversight and Optimising Special Autonomy Funds for Regions
Image: CNN_ID

Interior Minister (Mendagri) Muhammad Tito Karnavian has emphasised that the government is ready to strengthen oversight and optimise the implementation of Special Autonomy Funds (Otsus) in several regions.

Tito conveyed this after attending a Working Meeting and Hearing with DPR RI’s Commission II, which discussed the implementation of Otsus in Papua, Otsus in Aceh, and the Special Funds for the Special Region of Yogyakarta (DIY). The meeting took place at the Parliamentary Complex in Senayan, Jakarta, on Monday (13/4).

Tito explained that the Ministry of Home Affairs (Kemendagri) was invited to present developments in regional development for recipients of Otsus funds. The discussion focused on the distribution and management of Otsus funds in Papua and Aceh, as well as the Special Funds in DIY.

“I also presented the situation regarding the special status of these regions under the law, what has been established, the institutions, the regulations, the development achievements from available macro data, and what we are doing to address those challenges,” he said.

According to Tito, one of the main conclusions from the meeting was a request from DPR RI’s Commission II for the government, particularly Kemendagri, to strengthen oversight and guidance for regions receiving special funds. This step is deemed essential to ensure development proceeds more optimally and on target.

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

Thirdly, the government supports the continuation of Otsus funds for Aceh. According to him, there are proposals to extend this scheme, similar to that in Papua, with considerations to increase the amount.

This discussion, Tito said, needs to be conducted as soon as possible given that the current scheme’s validity period is nearing its end.

“We support the issue of the Special Autonomy budget in Aceh, which has been for 20 years. Starting from 2008, for 15 years it was two percent of the national DAU (General Allocation Fund). Then for the next five years, 2023-2027, it is one percent of the national DAU. It can be extended like in Papua,” he explained.

Nevertheless, he emphasised that this very much depends on the state’s financial capacity. Additionally, the uncertain global geopolitical situation is also a consideration.

On the other hand, Aceh also faces challenges due to ongoing natural disasters, such as floods and landslides in several areas. This condition further strengthens the urgency of budget support for accelerating recovery and development.

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

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