Prabowo to Boost Papua Special Autonomy Fund If Savings Are Made in 2026 Budget
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PublishedDec 16
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Prabowo to Boost Papua Special Autonomy Fund If Savings Are Made in 2026 Budget

AnalisaHub Editorial·December 16, 2025
Executive Summary
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Executive Summary

Key insights and market outlook

Indonesian President Prabowo Subianto has pledged to increase the Special Autonomy (Otsus) fund for Papua in 2026, contingent upon the central government achieving savings in the 2026 State Budget (APBN). The current Otsus allocation for 2026 stands at Rp 10 trillion, down from Rp 12.69 trillion in 2025. Prabowo made this commitment during a meeting with Papua regional leaders, emphasizing the need for efficient budget management.

Full Analysis
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Deep Dive Analysis

Prabowo Commits to Boosting Papua Special Autonomy Fund

Conditional Increase in 2026 Allocation

Indonesian President Prabowo Subianto has made a significant commitment to increase the Special Autonomy (Otsus) fund for Papua in 2026, provided that the central government can achieve savings in the 2026 State Budget (APBN). This announcement was made during a meeting with Papua regional leaders at the Presidential Palace in Jakarta.

Current Allocation and Proposed Changes

The Otsus fund for 2026 is currently set at Rp 10 trillion, representing a decrease from the Rp 12.69 trillion allocated in 2025. Finance Minister Purbaya Yudhi Sadewa confirmed that the 2025 allocation had been fully disbursed. The proposed increase for 2026 is contingent upon the government's ability to implement budget efficiencies.

Emphasis on Efficient Budget Management

Prabowo stressed the importance of prudent financial management during his meeting with Papua leaders. He initiated the discussion by querying Minister Purbaya about the disbursement status of the Otsus fund for the current year. Purbaya confirmed that the total allocation of Rp 12.69 trillion had been fully released.

Implications for Papua's Development

The Special Autonomy fund plays a crucial role in Papua's regional development, funding various infrastructure and social programs. An increase in the allocation could potentially accelerate development projects in the region, subject to effective implementation and management by local authorities.

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Story Info

Published
1 month ago
Read Time
8 min
Sources
1 verified

Topics Covered

Special Autonomy FundPapua DevelopmentState Budget Management

Key Events

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Potential Increase in Papua Otsus Fund

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2026 State Budget Review

Timeline from 1 verified sources