US-Iran tensions threaten price hikes; West Java accelerates infrastructure to safeguard region
BANDUNG — Current geopolitical turbulence has created a pressurised economic situation. Nevertheless, the strategy of accelerating infrastructure projects in 2025 has been assessed as advantageous for the West Java Provincial Government this year given these circumstances.
West Java Governor Dedi Mulyadi stated that last year, he made the decision to accelerate infrastructure projects amid severe budget efficiency measures. As a result, by year-end, infrastructure projects valued at IDR 629 billion were completed despite using a deferred payment scheme.
“People criticised me, asking why the West Java Provincial Government exceeded its budget and had to pay off arrears of IDR 629 billion, but I smile,” he said in a statement on Tuesday (10 March 2026).
Previously, each closure of the West Java budget (APBD) left behind budget surplus (Silpa) of up to IDR 1.8 trillion. However, under his leadership, Silpa for 2025 was reduced to merely IDR 520 billion.
“Every year I have led, Silpa has been IDR 520 billion,” said the governor, commonly known as KDM (Kang Dedi Mulyadi).
KDM further explained the rationale behind accelerating infrastructure development in October 2025. “I expedited my projects in October; I knew the money would be available, I knew. But I said, let’s include the projects. We ultimately managed to spend IDR 629 billion. If we had dared to borrow IDR 1 trillion at that time, we would have profited more,” he said.