MEDAN | INDATANEWS.COM - The North Sumatra Provincial Government has distributed Rp325 billion in Provincial Financial Assistance, known as BKP, to 30 regencies and cities. The assistance is intended to promote balanced development across the province while accelerating the implementation of various strategic programs considered important for the respective regions.
The Head of the Development Administration Office at the North Sumatra Provincial Secretariat, Faisal Arif Nasution, made the statement during a press briefing organized by the North Sumatra Provincial Communication and Informatics Agency at the lobby of the Dekranasda Building at the North Sumatra Governor's Office, Jalan Pangeran Diponegoro Number 30, Medan, on Thursday, October 8, 2026.
Faisal explained that regency and city governments must first submit applications or project proposals to receive BKP financial assistance. The North Sumatra Provincial Government then reviews the submitted proposals before determining the amount of assistance allocated to each region.
"Provincial financial assistance is provided to regencies and cities based on proposals submitted by all regencies and cities. These proposals are then reviewed by Bapperida. Only after that will the BKP be allocated according to the amount requested by each regency and city," Faisal said.
According to Faisal, the BKP budget for the North Sumatra Province entered into the system amounts to Rp382 billion. Of the total budget, the government has entered into contracts worth Rp325 billion with recipients in a total of 30 regencies and cities.
BKP Aims to Promote Balanced Development
The distribution of BKP financial assistance is one of the instruments used by the North Sumatra Provincial Government to promote balanced development across all parts of the province. Regional governments can use the allocated budget to finance development activities based on their respective needs and priorities.
Faisal explained that the physical implementation of projects supported through BKP is still underway. The North Sumatra Provincial Government continues to monitor implementation to ensure that all programs receiving financial assistance are completed in accordance with their established objectives.
The North Sumatra Provincial Government aims to complete all projects financed through BKP by December 2026. Completing these projects is considered important so that residents in recipient regions can benefit from the financial assistance as quickly as possible.
Several regencies received substantial BKP allocations. Based on the available data, North Nias received Rp23 billion, Asahan Rp28 billion, Karo Rp23.4 billion, South Labuhanbatu Rp21.5 billion, Padanglawas Rp20 billion, and North Tapanuli Rp25 billion.
In addition, other regencies and cities received BKP assistance ranging from Rp15 billion to less than Rp5 billion. The amount allocated to each region was determined based on the proposals submitted and the results of an assessment of the respective development needs.
FINANCIAL ASSISTANCE APPLICATION AND REVIEW PROCESS: Head of the Development Administration Office at the North Sumatra Provincial Secretariat, Faisal Arif Nasution, explains the application and review process for provincial financial assistance for regencies and cities. (PHOTO: Fahmi Aulia)
Implementation Becomes Basis for Potential Awards
The North Sumatra Provincial Government is not only monitoring the distribution of budgetary assistance but also the progress of projects financed through BKP. The performance of regency and city governments in implementing the assistance will become one of the assessment criteria used by the provincial government.
Faisal explained that BKP implementation could also be considered by the North Sumatra Governor when awarding recognition or rewards to regencies and cities in 2027. Regions demonstrating good performance and a high level of implementation are expected to receive particular attention during the assessment process.
"Later, we can see which regions achieve good results. This will be a consideration for the Governor in deciding which regencies and cities should receive awards or rewards based on their good implementation," he said.
The evaluation is intended to encourage regency and city governments not only to complete the administrative procedures related to budget disbursement but also to ensure that development activities are implemented according to plan. In this way, the allocated budget is expected to generate tangible benefits for the community.
The North Sumatra Provincial Government is also ensuring that program implementation remains aligned with regional development planning. Recipients of BKP financial assistance must use the funds in accordance with the objectives of the activities that were previously proposed and reviewed.
Through this mechanism, the provincial government can monitor the relationship between regional proposals, program implementation and development outcomes achieved through support from the provincial budget.
IMPLEMENTATION AS A CRITERION FOR AWARDS: Head of the Development Administration Office at the North Sumatra Provincial Secretariat, Faisal Arif Nasution, explains that the implementation of provincial financial assistance will be among the criteria for awarding recognition to regencies and cities in 2027. (PHOTO: Fahmi Aulia)
Focus on Roads and Infrastructure
Faisal explained that the majority of BKP proposals submitted by regency and city governments concern road improvement and reconstruction. Regional governments have also proposed the construction of various types of infrastructure considered important for supporting community activities and improving regional connectivity.
The need for road infrastructure is one of the reasons for the large number of development proposals submitted by regencies and cities. Adequate infrastructure is considered essential to facilitate community mobility and the transportation of goods, as well as to connect regencies and cities with the provincial road network.
The North Sumatra Provincial Government subsequently seeks to align these proposals with development programs at the provincial level. This synchronization is necessary to ensure that development activities financed through BKP are not implemented in isolation but remain connected to the programs of the provincial government.
Faisal said the cooperation also enables the government to examine the relationship between roads in regencies and cities and provincial roads. In this way, financial assistance can be directed toward locations where it can provide greater benefits to the community.
"This is indeed the focus in all regencies and cities, namely improving infrastructure. Therefore, we are trying to align the proposals submitted with provincial programs as well. This means there are roads in regencies and cities that can be connected to provincial roads, including projects that we have already financed at several locations in regencies and cities," he said.
In addition to infrastructure needs, BKP implementation is also being aligned with programs stipulated in the Regional Medium-Term Development Plan. This alignment is part of the government's efforts to ensure that financially supported activities remain consistent with the regional development strategy.
Through the distribution of Rp325 billion in BKP financial assistance to 30 regencies and cities, the North Sumatra Provincial Government aims to encourage regional governments to accelerate development while improving the quality of public services and regional connectivity. The North Sumatra Provincial Government has set a target for all projects that have already been contractually agreed to be optimally implemented by December 2026.
The results achieved will subsequently become part of the provincial government's evaluation, including in determining recognition and rewards for regencies and cities that demonstrate good implementation of their development programs in 2027.
Thus, BKP is not merely financial assistance for regency and city governments but also forms part of a strategy to synchronize development between the North Sumatra Provincial Government and regional governments. The ultimate goal is to strengthen more balanced development throughout North Sumatra. (IDNC)
REPORTER: Ahmad Zulfikar | EDITOR: Fik Sagala