Indonesian Political, Business & Finance News

Purbaya Addresses MBG Budget Following Arrest of BGN Officials, Citing Budget Cuts

| Source: VIVA Translated from Indonesian | Economy
Purbaya Addresses MBG Budget Following Arrest of BGN Officials, Citing Budget Cuts
Image: VIVA

Jakarta, VIVA – Following the detention of three high-ranking officials from the National Nutrition Agency (BGN) by the Attorney General’s Office regarding alleged corruption, Finance Minister Purbaya Yudhi Sadewa has emphasised that the government remains committed to prioritising budget efficiency for the Free Nutritious Meal (MBG) Programme.

According to Purbaya, the replacement of BGN leadership, specifically Dadan Hindayana and two Deputy Heads of the BGN, is entirely within the authority of President Prabowo Subianto. He noted that this decision follows the President’s evaluation of the officials’ performance.

“We are not interfering. What is clear is that the current figure, which is around Rp260 trillion, will decrease, right? Because there are cuts and various other factors,” Purbaya stated when confirmed by journalists at the Parliament Complex, Jakarta, on Wednesday, 2 June 2026.

Previously, the Ministry of Finance announced a reduction in the MBG Programme budget within the 2026 State Budget (APBN). The ceiling, originally planned at Rp335 trillion, was slashed to Rp268 trillion. This move follows directives from President Prabowo Subianto to ensure the MBG Programme’s implementation is more effective and its budget usage is more efficient.

As of 30 April 2026, the budget realisation for the MBG Programme reached Rp75 trillion. These funds have been used to serve 61.96 million beneficiaries through 27,952 Nutrition Fulfilment Service Units (SPPG) distributed across various regions.

Purbaya also signalled that further budget efficiency for the programme remains possible, although he did not provide specific details regarding the scale or the scheme of savings to be implemented moving forward. He added that President Prabowo is currently undertaking reforms in the governance of the MBG Programme, including improving the management mechanisms and budget usage within the BGN.

Earlier, the Attorney General’s Office named three former BGN officials as suspects in a corruption case involving the management of the MBG Programme for the 2025-2026 period. The three suspects are the former Head of BGN, Dadan Hindayana (DH), the former Deputy Head of BGN for Organisational Development and Institutional Support, Lodewyk Pusung (LP), and the former Deputy Head of BGN for Nutritional Fulfilment Operations, Sony Sonjaya (SS).

During the ongoing investigation, the Attorney General’s Office suspects the suspects were involved in price inflation (mark-up) practices regarding several procurements within the BGN, including the procurement of electric motorcycles and footwear.

Tags: bisnis
View JSON | Print