Kemendagri Holds Regional Leaders Accountable For Supervising Village Fund Implementation

Tuesday, 09 Dec 2025

Jakarta - In a clear chain-of-command reinforcement, the Ministry of Home Affairs has delineated explicit responsibilities for regional heads in the Village Fund ecosystem. Regents and mayors are no longer mere facilitators but are held as key accountable figures for the prudent and effective use of funds by villages under their authority.

This policy establishes a direct link between the performance evaluation of a regional head and the management quality of Village Funds in their region. Negligence in carrying out supervisory duties that leads to fund misuse could result in administrative sanctions, affecting their career assessment and regional performance scores.

The mandate requires regional governments to actively build the capacity of village apparatuses. This includes providing consistent training on financial management, procurement regulations, and project management. Regional heads must ensure that villages have the technical and administrative competence to execute their duties properly.

Furthermore, regional inspectors (Inspektorat Daerah) are instructed to conduct systematic, risk-based audits of Village Fund usage across their jurisdictions. The findings of these audits must be followed up decisively, with regional heads ensuring any corrective measures are implemented.

This layered oversight model creates a more integrated supervision framework. It bridges the gap between national policy and village-level execution, ensuring that directives from the central government are consistently understood and applied on the ground through active regional intermediation.

The Ministry believes that strong regional leadership is the linchpin for the program's success. By making regents and mayors directly accountable, it incentivizes them to take a personal interest in mentoring villages, solving implementation bottlenecks, and fostering a culture of good governance at the local level.

This approach also aims to harmonize village development plans with broader regional spatial plans and development strategies, ensuring that village projects are synergistic and contribute to overall regional progress rather than operating in isolation.

Ultimately, by anchoring accountability at the regional leadership level, the government aims to create a more coherent, disciplined, and effective governance chain for the Village Fund program, ensuring that its benefits are fully realized for the advancement of rural Indonesia.


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