Heaptalk, Jakarta—The Ministry of Villages, Development of Disadvantaged Regions and Transmigration (Kemendes PDTT) announced an increase in Village Funds of Rp71 trillion for 2024, 1.42% compared to 2023. One of the focuses of this year’s village budget is community empowerment and sustainable development.
The Village Fund, with its primary aim to combat extreme poverty, ensure food security, reduce stunting, and support other priority sectors, is a testament to the government’s commitment to the welfare of its citizens. Mitigation steps have been put in place to ensure the proper utilization of Village Funds and to prevent any misuse. This commitment is further reinforced by the issuance of Government Regulation No. 37 of 2023 on the Management of Transfers to Regions, which mandates the prioritization of village funds for development and community empowerment activities.
Issuing several regulations on Village Funds
Complementing the regulations, the Ministry has made operational instructions in the form of Regulation of the Minister of Villages, Development of Disadvantaged Regions and Transmigration (Permendesa) No. 7 of 2023 on Details of Priorities for 2024 Village Fund Management, which was signed by Minister Abdul Halim Iskandar, on October 27, 2023.
Article 4 Permendesa No. 7 of 2023 explains that Village Funds are prioritized for village development through meeting basic needs, building village infrastructure, developing local economic potential, and sustainable use of natural resources and the environment.
Meanwhile, Article 5 Permendesa no. 7 of 2023 states that preventing stunting, expanding access to health services, and strengthening community plant and animal food security are part of efforts to fulfill fundamental rights and develop alternative electricity for villages that do not yet have electricity. This is also in line with the establishment, development, and capacity building of village-owned enterprises (BUMDes) and preserving village natural resources.
Village govt must publish the use of village funds
“Regarding the priority use of Village Funds as part of the Village RKP, it is prepared based on recommendations from village deliberations and becomes a guideline in preparing the Village APB (Article 14). Furthermore, when the Village APB is determined, each village government must publish the priority use of Village Funds in the media local mob (Article 15),” explained Minister of Villages, Development of Disadvantaged Regions and Transmigration Abdul Halim Iskandar in a press release some time ago.
The publication material includes the results of village deliberations, data and potential village development resources, Village RKP documents, details of priority uses of Village Funds, and Village Budget documents or as contained in Article 16 paragraph (1).
On the other hand, if the village government does not publish priorities for using Village Funds, it will be subject to administrative sanctions in the form of verbal and written warnings given by the regent/mayor. The warning was issued based on BPD monitoring reports or complaints from local village communities. “This publication is important in realizing transparent and participatory budget management. Delivery of programs also minimizes the occurrence of fraud,” concluded Abdul.