Indonesian local governments seek to optimize regional levies

Local governments in Indonesia are focusing on optimizing regional original income (PAD) through improved levy management. In Jayapura, Vice Mayor Rustan Saru emphasized that optimizing regional levies is a primary pillar for strengthening the city's fiscal independence. He called for more transparent, professional, and integrity-driven management, suggesting the use of digital technology to improve accountability and public service quality.

In Surabaya, officials are addressing significant shortfalls in parking retribution. A member of the Surabaya Regional House of Representatives (DPRD), Sukadar, noted that parking revenue consistently fails to meet targets, with realizations often falling below 50 percent of the set goals. To combat revenue leakage, Surabaya is transitioning toward non-cash digital payment systems. Sukadar suggested that the Surabaya Transportation Agency model its digital integration after Malang, which uses a centralized application to monitor parking attendant deposits in real-time.