PDIP's Aria Bima Reveals Regional Transfer Funds to Drop to Rp 600 Trillion in 2027

Deputy Chairman of the House of Representatives Commission II, Aria Bima, has stated that regional transfer funds will amount to Rp 600 trillion in 2027. He highlighted the impact of the decline in regional transfer funds.

“So, regional transfers, which were Rp 900 trillion, will drop to Rp 600 trillion by 2027. Consequently, the salaries of civil servants, especially teachers, including honorary workers and part-time Government Employees with Work Agreements (PPPK), are charged to the Regional Budget (APBD),” Aria Bima said at the parliament complex in Senayan, Jakarta, on Wednesday (24/6/2026).

Aria Bima said Commission II of the House of Representatives has requested that the salaries of PPPK and part-time PPPK be covered by the State Budget (APBN). He noted that regional transfer funds in 2025 reached Rp 900 trillion.

“In a meeting between Commission II, the Ministry of Administrative and Bureaucratic Reform, and the Ministry of Home Affairs, a decision was made regarding PPPK, civil servants, and part-time workers, specifically that PPPK and part-time workers should be budgeted from central government expenditure,” said the PDIP legislator.

“Because, once again, in 2027, regional transfers will decrease by a total of Rp 300 trillion from Rp 900 trillion. We do not want this efficiency drive and reduction in regional transfers to disrupt the state civil apparatus and PPPK, which would impact public services,” he added.

Aria also urged that PPPK workers who have already been appointed, as well as part-time PPPK workers, should not be laid off. He expressed hope that the Ministry of Home Affairs’ decision to impose a maximum limit of 30 percent of the regional budget for personnel expenditure would not lead to dismissals.

“Therefore, our decision is that PPPK workers who have been appointed and part-time PPPK workers should not face layoffs, whether due to the Home Affairs Minister’s 30 percent rule or as a result of these efficiency measures,” he stated.

Commission II of the House also proposed that the Minister of Home Affairs proactively coordinate with the Ministry of Administrative and Bureaucratic Reform and the Ministry of Finance regarding the fate of civil servants and PPPK workers. He stressed that public services must not be disrupted.

“So we propose that the Home Affairs Minister be proactive with the Ministry of Administrative and Bureaucratic Reform and discuss with the Ministry of Finance so that civil servants, PPPK, including part-time workers, are budgeted by the central government. Especially due to the efficiency measures in 2027,” he said.

Aria further explained the concerns if regional transfers decrease again in 2027. He reminded that 1.7 million honorary workers have been appointed.

“If it drops by Rp 300 trillion, our concern is that the pressure will definitely be on that 30 percent limit. Meanwhile, we have already appointed 1.7 million people as civil servants and PPPK. If they cannot be paid, because more than 80 percent of regional budgets depend on transfer funds, and there are still around 20 to 30 percent of regions where transfers account for over 80 percent, the impact will be enormous,” he added.