Tito Karnavian Praises Agung Nugroho's Innovations to Boost Pekanbaru's Local Revenue

Interior Minister Tito Karnavian showcased the innovations and strategies implemented by Pekanbaru Mayor Agung Nugroho to enhance the City of Pekanbaru’s Local Own-Source Revenue (PAD). This was stated by Tito during his attendance at the Declaration and Installation of the Board of the All-Indonesia Retired Regional Heads Association (Perpukadesi) for the 2026–2031 period, on Monday, 4 May 2026. On that occasion, he directly displayed an article featuring the achievements in increasing Pekanbaru’s PAD. “This is a concrete example of how regional heads can innovate to boost PAD. Pekanbaru has shown good progress,” Tito said in front of the event participants. The strategies applied by the Pekanbaru City Government include optimising the local tax sector, digitising service systems, and strengthening oversight of potential revenue leakages. This approach is deemed not only effective in increasing regional receipts but also reflective of more modern and transparent government governance. Tito also appreciated the steps taken by Agung Nugroho and hopes that similar innovations can be adopted by other regional governments in Indonesia. “Steps like this are worth emulating. Other regions can learn from Pekanbaru in maximising PAD potential,” he added. Meanwhile, the Director General of Regional Financial Development at the Ministry of Home Affairs, Agus Fatoni, revealed that over the past year, Pekanbaru has recorded several significant achievements. These include an increase in PAD, the settlement of overdue debts that have persisted for more than a decade, and the acceleration of regional development. According to him, in 2024 the City of Pekanbaru experienced a budget deficit, but in 2025 it successfully turned into a surplus. Additionally, various development programmes and infrastructure improvements have been implemented and directly felt by the community. Fatoni also added that employee trust levels have increased in line with the regional government’s ability to pay additional employee income (TPP) for up to 14 months. On the other hand, community satisfaction has also risen thanks to various effective running development programmes. “This shows increasingly better regional financial management that has a real impact, both on apparatus and the wider community,” he concluded.