Indonesian Government to Disburse Rp 3 Trillion to Villages Starting Early 2019

Starting next year, the government will disburse Rp 3 trillion in village funds to 8,212 villages in 410 regencies/cities, as stipulated in the 2019 State Budget (APBN). This village fund allocation is in the form of additional General Allocation Funds (DAU). In addition to village funds, the government will continue to disburse village funds with an allocation of Rp 70 trillion.

Villages categorized as "good" will receive Rp 352.94 million/village for 2,805 villages in 91 regencies/cities. Those categorized as "needing improvement" will receive Rp 370.14 million/village for 4,782 villages in 257 regencies/cities. Meanwhile, those categorized as "significantly needing improvement" will receive Rp 384 million/village for 625 villages in 64 regencies/cities.

This village fund policy is intended to supplement, without reducing, the commitment of regional governments to fund villages through the Regional Revenue and Expenditure Budget (APBD). This funding assistance is to support regional governments in fulfilling their budgetary obligations to villages for the development of infrastructure and community empowerment.