HARIANEXPRESS – Governor of East Java, Khofifah Indar Parawansa, presented the Financial Note for the Draft Regional Budget Amendment (APBD-P) Jatim 2026.
The total regional spending outlined in this revised budget reaches an impressive Rp29.86 trillion.
This figure marks a significant increase of Rp2.64 trillion compared to the pure APBD 2026. Governor Khofifah delivered the Financial Note during a Plenary Meeting of the East Java DPRD on Monday, August 10, 2026.
Revised Budget Focuses on Priority Sectors
The budget adjustments aim to bolster several crucial sectors directly impacting economic growth, poverty alleviation, human resource quality enhancement, and public services. Policy for regional spending is geared towards optimizing funding for regional priority programs.
“Regional spending policy is directed to optimize funding for regional priority programs through strengthening interventions in sectors that provide significant impact on economic growth, poverty reduction, improvement of human resource quality, infrastructure strengthening, food security, regional inflation control, and improvement of public service quality,” explained Khofifah.
Infrastructure stands out as one of the key sectors receiving significant attention in the APBD-P Jatim 2026. The total expenditure for the Infrastructure Function amounts to Rp8.27 trillion, accounting for 32.90 percent of the total APBD spending, excluding transfer expenditures.
Key Allocations: Infrastructure, Education, and Health
The Public Works and Spatial Planning (PUPR) sector has been allocated Rp2.10 trillion. This budget is specifically directed towards accelerating the improvement of provincial road stability, enhancing public facilities, and undertaking river normalization projects.
“The PUPR budget is directed to accelerate the improvement of provincial road stability, public facility repairs, up to river normalization,” said Khofifah.
Education also receives a substantial portion of the budget, with spending for the Education Function reaching Rp9.53 trillion, or 31.93 percent of the total spending. This allocation aims to strengthen educational services, improve facilities and infrastructure, and provide additional scholarships for students from impoverished families.
“Education affairs are allocated for the Education Department and UPT SMK that implement PPK-BLUD, changing to Rp8.51 trillion, including the addition of scholarships for 50 thousand poor students and improvements to educational facilities and infrastructure,” Khofifah elaborated.
For the health sector, the Health Function budget is set at Rp6.18 trillion, representing 24.29 percent of the total. This includes allocations for the Health Department, general hospitals, specialized hospitals, and UPT PPK-BLUD.
“The health budget is allocated for the Health Department, General Hospitals, Special Hospitals, and UPT PPK-BLUD, including the addition of mobile health services and improvement of health facilities and infrastructure,” she added.
Revenue Increase and Deficit Management
East Java’s regional revenue target also shows an increase in the draft revised APBD, rising from Rp26.31 trillion to Rp26.49 trillion, an increment of Rp183.77 billion. This growth is primarily supported by increased retribution from Regional Public Service Agencies (BLUD) and regional incentives from the central government.
The provincial government is continuously enhancing fiscal independence through optimizing retribution and leveraging regional assets. This strategy involves identifying and developing potential sources of regional revenue.
“Optimization of regional retribution revenue is carried out to strengthen regional fiscal independence through increased utilization of Regional Owned Goods (BMD), review of potential and retribution tariffs, and collaboration with all regional apparatuses to identify, manage, and develop various types of regional retribution,” she detailed.
With total regional spending at Rp29.86 trillion and regional revenue at Rp26.49 trillion, the draft revised APBD Jatim 2026 records a deficit of Rp3.37 trillion. This deficit will be covered by Net Financing, sourced from the 2025 SiLPA (Surplus Budget Calculation) which has been audited by the Financial Audit Agency (BPK).
Additionally, the East Java Provincial Government has earmarked Rp9.17 billion for the payment of principal loan installments due to PT Sarana Multi Infrastruktur (PT SMI) for the National Economic Recovery (PEN) Program.
