$10.6 Trillion in TKD Funds Disbursed to Accelerate Post-Disaster Recovery

The government has successfully completed the disbursement of additional Regional Transfers (TKD) to disaster-affected areas across Aceh, North Sumatra, and West Sumatra provinces. By May 4, 2026, a total of IDR 10.65 trillion in additional TKD funds had been 100% disbursed, providing a significant boost to accelerate post-disaster recovery efforts in these three impacted provinces.

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The disbursement of these Regional Transfers was strategically phased to ensure rapid liquidity in the affected regions. The initial phase, comprising 40% or IDR 4.38 trillion, was successfully distributed on February 27, 2026. This was followed by the second phase on March 31, 2026, which saw 30% or IDR 3.19 trillion disbursed. The final 30%, amounting to IDR 3.06 trillion, was released on May 4, 2026. Crucially, all these phases were carried out without conditional requirements, empowering local governments to swiftly accelerate on-the-ground recovery programs.

This comprehensive implementation ensures that all local governments in the affected territories possess adequate fiscal capacity to expedite crucial post-disaster rehabilitation and reconstruction efforts.

In aggregate, Aceh Province received an additional IDR 1.65 trillion, North Sumatra IDR 6.35 trillion, and West Sumatra IDR 2.63 trillion. These funds have been fully channeled down to district/city governments, encompassing additional Revenue Sharing Funds (DBH), General Allocation Funds (DAU), and Special Autonomy Funds (Otsus). Furthermore, eight heavily impacted districts/cities in Aceh received an additional IDR 287 billion through a grant mechanism, facilitated by several districts/cities in North Sumatra and West Sumatra.

Muhammad Tito Karnavian, Chairman of the Sumatera Post-Disaster Rehabilitation and Reconstruction Acceleration Task Force (Satgas PRR), affirmed that this additional TKD policy represents a strategic measure undertaken by President Prabowo Subianto. Its aim is to ensure swift and equitable recovery across all affected regions. “The President decided that all provinces and districts/cities would receive additional TKD, totaling approximately IDR 10.6 trillion. This is to ensure that recovery proceeds quickly and evenly,” Tito stated in Medan, North Sumatra, on Wednesday, April 22, 2026.

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He further elaborated that this decision was made after a thorough consideration of the actual needs on the ground. The government’s approach extends beyond directly impacted areas, targeting all regions within a province to foster a more integrated recovery process. “If only directly affected areas were targeted, the figure would be around IDR 8 trillion, but the President opted to provide funds to all. This demonstrates a commitment to accelerating recovery,” he added.

Tito emphasized that the positive impact of the TKD disbursement is already evident on the ground. Essential infrastructure, including roads and bridges, is functionally operational once more. Furthermore, logistical distribution no longer faces impediments, and vital community services such as electricity, fuel supply, and traditional market activities have resumed in most areas. “As of today, we observe that most areas have functionally normalized. Roads are passable, logistics are smooth, and electricity and markets are operational,” he explained.

With this full and timely fiscal support, local governments are now entering a phase of more extensive and accelerated recovery. The construction of permanent housing, restoration of public facilities, and strengthening of the local economy are all set to progress at a faster pace, underpinned by the substantial available budget.

Summary

The Indonesian government has successfully disbursed a total of IDR 10.65 trillion in additional Regional Transfers (TKD) to accelerate post-disaster recovery efforts in Aceh, North Sumatra, and West Sumatra provinces. These funds were fully disbursed by May 4, 2026, in three phases, providing rapid liquidity to local governments without conditional requirements. This strategic measure aims to empower local authorities to expedite crucial rehabilitation and reconstruction programs.

Of the total, North Sumatra received IDR 6.35 trillion, West Sumatra IDR 2.63 trillion, and Aceh IDR 1.65 trillion, including an additional IDR 287 billion in grants for eight districts/cities in Aceh. This policy, initiated by President Prabowo Subianto, ensures swift and equitable recovery across all regions within the affected provinces. The disbursement has already led to the functional normalization of essential infrastructure and community services, enabling local governments to proceed with more extensive recovery, including permanent housing and economic restoration.

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