Indonesian Political, Business & Finance News

PRR Task Force Chief Sets One-Week Deadline for Inter-Regional Grants to Accelerate Recovery

| Source: VIVA Translated from Indonesian | Politics
PRR Task Force Chief Sets One-Week Deadline for Inter-Regional Grants to Accelerate Recovery
Image: VIVA

The Chairman of the Task Force for the Acceleration of Post-Disaster Rehabilitation and Reconstruction (Satgas PRR) for Sumatra, Muhammad Tito Karnavian, has given a deadline of next week to both donor and recipient local governments to complete the entire process of distributing financial assistance to disaster-affected regions. This is to ensure that the acceleration of rehabilitation and reconstruction is not hampered by administrative issues, while affected communities still require immediate handling.

Tito explained that the emergency response phase has ended and the handling has now entered the permanent recovery stage. Therefore, all financing instruments prepared by the government must be optimised immediately, including additional Transfers to Regions (TKD) and inter-regional grants.

“I respectfully request, specifically regarding the grant issue, please resolve it by this coming Monday. If the problem is that the prospective recipient has not submitted a proper and correct proposal, I may cancel it and announce it publicly. Do not complain to us again, because the assisting regions are already prepared,” said Tito while chairing a hybrid coordination meeting on the acceleration of post-disaster rehabilitation and reconstruction in Sumatra with local governments in Jakarta, Wednesday (17/6/2026).

Based on data from the PRR Task Force, the government has allocated additional TKD amounting to Rp10.6 trillion to all local governments in Aceh, North Sumatra, and West Sumatra to support post-disaster handling and risk mitigation. At the same time, the government is also promoting an inter-regional grant scheme to assist affected areas where recovery needs remain high, especially in Aceh.

From the North Sumatra assistance scheme to Aceh, financial aid commitments reached Rp260 billion, originating from the City of Medan, the Regencies of Deli Serdang, Simalungun, Asahan, Serdang Bedagai, the Province of North Sumatra, the City of Pematangsiantar, and the Regency of Labuhanbatu. Most of this assistance has already entered the recipient local governments’ accounts. Only one aid package is still pending, namely Rp25 billion from Labuhanbatu Regency to Gayo Lues Regency, due to incomplete proposal requirements from the recipient.

Meanwhile, financial assistance from 15 regencies/cities in West Sumatra to affected areas in Aceh reached Rp29 billion. However, as of mid-June 2026, only a small portion has been realised. The PRR Task Force noted that several regions have yet to finalise regional head regulations, regulatory harmonisation, or other administrative processes. This is despite the government having provided facilitation through the Minister of Home Affairs’ Letter Number 900/4277/SJ dated 21 May 2026, which stipulates that the use of grants and financial assistance does not require approval from the Regional People’s Representative Council.

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