Indonesian Political, Business & Finance News

Purbaya Assures Kopdes Pickup Budget Will Not Be Disbursed Before Audit

| Source: CNBC Translated from Indonesian | Economy
Purbaya Assures Kopdes Pickup Budget Will Not Be Disbursed Before Audit
Image: CNBC

Jakarta, CNBC Indonesia – Finance Minister Purbaya Yudhi Sadewa has responded to findings by Indonesian Corruption Watch (ICW) regarding alleged fund inflation in the procurement of pickup trucks for the Red and White Village/Neighbourhood Cooperatives (Kopdes/Kel) programme.

The Finance Minister confirmed that the disbursement of the budget for the Kopdes/Kel Merah Putih pickup vehicle programme will go through an audit process.

According to him, the Ministry of Finance will only disburse the budget once it has passed an audit. The statement was in response to ICW’s findings of alleged fund inflation in the pickup truck procurement project.

“That will be audited. I only accept — I pay only what has been audited,” Purbaya told reporters at the DPR RI building in Jakarta on Tuesday (14/7/2026).

He also said his office does not yet have the data underlying ICW’s findings. ICW has said it will report the alleged fund inflation in the Kopdes Merah Putih pickup procurement project to the Corruption Eradication Commission (KPK).

“It will be audited. Once it is audited and passes, only then will they bill me and I pay. So I’m secure, it’s safe,” Purbaya asserted.

ICW’s findings on the alleged budget inflation were based on its monitoring of the pickup truck procurement carried out by PT Agrinas Pangan Nusantara (APN) for the programme.

Quoting Detikcom, ICW suspects a price discrepancy of Rp 61-69 million per pickup unit. Accumulated across the procurement target of 80,000 units, ICW estimates the potential rent-seeking could reach Rp 4.86 trillion to Rp 5.54 trillion.

In light of these findings, ICW has recommended a temporary halt to the project, the full disclosure of all procurement documents to the public, and an investigation by law enforcement to ensure there is no rent-seeking or abuse of authority in the use of state funds.

“Overall, ICW’s findings indicate that the KDMP pickup truck procurement potentially fails to meet the principles of transparency, accountability, efficiency and healthy business competition,” ICW wrote in its report.

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