Indonesia’s Home Affairs Ministry Says West Java Loan Plan Is Legally Sound

West Java’s planned second loan from PT Sarana Multi Infrastruktur has received a legal reassurance from Indonesia’s Home Affairs Ministry, after provincial lawmakers raised questions about its place in the region’s development plan.

The issue was discussed on Monday, Aug. 31, in Jakarta, where Special Committee XVII of the West Java provincial council met officials from the ministry’s Directorate General of Regional Development. The committee sought confirmation that the borrowing plan met legal requirements and was grounded in the 2025-2029 Regional Medium-Term Development Plan, known as the RPJMD.

Daddy Rohanady, the committee’s deputy chairman, said officials had clarified that the plan appears in Chapters I, II and IV of the RPJMD. Earlier concerns centered on the fact that it was not explicitly mentioned in Chapter III.

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The goal is just one thing. We want confirmation from the Home Affairs Ministry regarding the situation that had previously been a gray area.

"The goal is just one thing. We want confirmation from the Home Affairs Ministry regarding the situation that had previously been a gray area," Daddy said after the meeting. He later said the ministry had concluded that West Java was legally secure.

The committee still plans to attach notes and recommendations to the consultation’s findings. It also said the ministry called for a complete evaluation of RPJMD implementation across 2025 and 2026, rather than relying only on results from the first half of 2026. Those conclusions are expected to inform a future review of the development plan.

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West Java is legally secure.