2018 Village Fund Absorption Targeted to Reach 99%

The Minister of Villages, Development of Disadvantaged Regions, and Transmigration, Eko Putro Sandjojo, estimates that the absorption of village fund programs in 2018 reached 99% of the allocated Rp 60 trillion. The absorption of village funds in 2016 reached 82.72%, then increased to 97.65% in 2016 and further increased to 98.54% in 2017.

Over four years, the allocation of village funds reached Rp 187 trillion, with absorption estimated to reach Rp 181 trillion by the end of 2018. To support community economic activities, village funds have been used to build 159,000 km of village roads, 1,028,000 meters of bridges, and 4,711 additional boats. In addition, village funds have also financed 14,770 Village-Owned Enterprises (BUMDes) activities, 6,932 village markets, and others.

(Databoks: Provinces with the Highest Village Fund Disbursement in 2016)

The disbursement of village funds under the Joko Widodo administration has reduced the number of poor rural residents by 1.57 million people, to 15.8 million in March 2018 from 17.94 million in September 2014. This decrease in the number of poor people has also reduced the rural poverty rate to 13.2% in March 2018 from 13.76% in September 2014.