Roundtable Decision, Encouraging Increased Local Revenue for Cities

Suar.id, in collaboration with the Association of Indonesian City Governments, held an important discussion forum entitled "Promoting City Revenue Growth." This event was held in response to the high fiscal dependence of local governments on central government funds, which are now threatened with cuts.

Previously, the central government, through the 2026 Draft State Budget, announced a drastic 29.3% reduction in the allocation of TKD, from Rp 919.87 trillion in 2025 to Rp 650 trillion. Although the Ministry of Finance has increased the allocation by Rp 43 trillion to Rp 693 trillion, this figure remains the lowest in the last five years and has sparked objections from regional heads.

ThroughRoundtable Decision SUAR Roundtable Decision forum, it is hoped that all stakeholders can formulate concrete solutions so that local governments can reduce their dependence on the central government and strengthen their fiscal independence for the sake of the continuity of regional administration and development in the coming years.

Read more