North Sumatra to Utilise Additional TKD Funds to Accelerate Post-Disaster Recovery
The North Sumatra Provincial Government (Pemprov Sumut) has confirmed that the additional Regional Transfer Funds (TKD) for the 2026 fiscal year, amounting to Rp6.356 trillion, will soon be realised, among other things to accelerate the recovery of areas affected by the disasters that struck Sumatra late last year.
The Director General of Regional Financial Management (Dirjen Bina Keuda) at the Ministry of Home Affairs (Kemendagri), Agus Fatoni, said the government has allocated an additional Rp10.68 trillion in TKD for the three provinces affected by the disasters: Rp6.35 trillion for North Sumatra, Rp2.63 trillion for West Sumatra, and Rp1.65 trillion for Aceh.
He commended the commitment of the regional governments, which have adjusted their 2026 regional budgets through Regional Head Regulations (Perkada) so that the additional funds can be put to use immediately.
The commitment of the North Sumatra Provincial Government was conveyed by Governor Bobby Afif Nasution at the Coordination Meeting on Monitoring and Assistance for the Use of Additional TKD for the 2026 Fiscal Year, held at the Raja Inal Siregar Hall of the North Sumatra Governor’s Office on Tuesday (14 July).
Governor Bobby Nasution said the central government has restored North Sumatra’s TKD allocation to around Rp6 trillion. Of that amount, the provincial government receives about Rp1.1 trillion, which will be used to support rehabilitation and reconstruction programmes in disaster-affected areas.
“We are committed to ensuring this additional TKD genuinely benefits the public. Every rupiah of the budget must be used optimally to accelerate development, support the recovery of disaster-affected areas, and drive economic growth for our communities,” said Bobby.
Based on the allocation set by the government, the additional TKD for North Sumatra totals Rp6,356,935,460,290, of which Rp4.331 trillion is specifically allocated to 18 disaster-affected districts. The additional funding is intended to speed up post-disaster rehabilitation and reconstruction.
The Head of the Regional Finance and Assets Agency (BKAD) of North Sumatra Province, Timur Tumanggor, said coordination between the central government, the provincial government, and district/city governments is key to ensuring the additional TKD can be realised effectively and on target.
“Synergy between the central, provincial, and district/city governments must continue to be strengthened so that the use of the additional Regional Transfer Funds runs effectively, hits the right targets, and delivers tangible benefits to the public, particularly in supporting accelerated development in post-disaster areas,” said Timur.
In accordance with Circular Letter of the Minister of Home Affairs Number 900.1.3/1084/SJ, the additional TKD is prioritised to support all stages of disaster management, from mitigation and preparedness, emergency response, rehabilitation and reconstruction, strengthening Unforeseen Expenditures (BTT), through to inter-regional financial assistance.
This commitment has been demonstrated by eight regional governments in North Sumatra, which have allocated Rp260 billion in financial assistance to eight disaster-affected regencies in Aceh as a form of fiscal mutual cooperation to accelerate post-disaster recovery.