The Ministry of Home Affairs Builds a Competitive Climate Among Regional Governments Through Awards
The Ministry of Home Affairs (Kemendagri) is building a climate of competitive performance among regional governments through the awarding of high-performing daerah with region-based fiscal incentives. The move is intended to push up local performance and at the same time recognise capable regional heads. Minister of Home Affairs Muhammad Tito Karnavian told reporters at the Apresiasi Pemerintah Daerah Berprestasi 2026 Regional Maluku dan Nusa Tenggara in the Merumatta Ballroom, Senggigi, Lombok, West Nusa Tenggara (NTB), on Tuesday 19 May 2026.
The minister explained that the awards are not only in the form of trophies but also fiscal incentives drawn from the Mendagri budget. At the district level, Best I will receive Rp3 billion, Best II Rp2 billion, and Best III Rp1 billion. Meanwhile, at the provincial and city levels, the awards will be given only to Best I, with an incentive of Rp3 billion.
The scheme is divided by region to ensure the competition is fair and evenly distributed. The regional divisions are Sumatra, Kalimantan, Sulawesi, Maluku-Nusa Tenggara, Java-Bali, and Papua.
“The aim is twofold: to create a competitive climate, and automatically to reward those who perform well. Thirdly, to prompt those who have not yet performed as well to work even harder,” he said.
He added that the assessment uses data that is already available and verified, including from Badan Pusat Statistik (BPS) and Mendagri data. The categories to be competed include poverty alleviation and reduction of stunting, creative financing, reduction of unemployment, and inflation control.
“There are four categories that are competed in and the data is clear from BPS, including data held by Mendagri,” he noted.
In addition to promoting healthy competition, the minister emphasised that the programme also aims to demonstrate to the public that many regional heads have strong performance and deserve recognition.
“Actually, we want to convey through this event that quite a lot of regional heads are good and deserve to be honoured,” he added.
Further, the minister explained that the grant programme and fiscal incentives were discussed and overseen from the outset by the Parliament’s Commission II (DPR RI), including during the budgeting process. The Ministry has prepared a fiscal incentive budget of Rp1 trillion, to be disbursed in waves of awards according to the established regional divisions.
The event was also attended by the Coordinating Minister for Political and Security Affairs (Menko Polkam) Djamari Chaniago, the Minister for Public Housing and Settlement (PKP) Maruarar Sirait, the Chair of DPR Commission II Muhammad Rifqinizamy Karsayuda, the governors of Maluku and NTB, and members of the Forum for Coordinating Regional Leaders (Forkopimda) involved.