Research article

OPTIMIZING THE UTILIZATION OF LOCAL GOVERNMENT ASSET(S) IN INDONESIA

Rina Dewiyanti 1, Didin Muhafidin 2, Rahman Mulyawan 3, Elisa Susanti 4

Online First: November 30, 2022


In the context of managing local government assets, the Ministry of Home Affairs of the Republic of Indonesia has issued several policies, including Regulation of the Minister of Home Affairs (Permendagri) Number 19 of 2016 concerning Guidelines for Management of local government assets, to Regulation of the Minister of Home Affairs Number 47 of 2021 concerning Procedures for Implementation of Bookkeeping, Inventory, and Reporting of local government assets. local government assets are regional economic resources that have a strategic role and function in the administration of local government, especially in improving public services and community welfare. In addition, over time there will be a decrease in the value of these assets. The Ministry of Home Affairs of the Republic of Indonesia has also collaborated with the Corruption Eradication Commission (KPK) and the Financial and Development Supervisory Agency (BPKP) through the Monitoring Center for Prevention (MCP). This program focuses on local governance covering eight areas, one of which is regional asset management. This article uses a descriptive qualitative approach with data collection using literature study techniques. The results show that the strategy that must be achieved for optimizing local government assets is to identify and inventory the asset value and potential local government assets owned or controlled by the Local Government so that local government assets can be controlled properly and minimize problems that arise due to unrecorded and unsuitable assets.

Keywords

Optimizing, Local Government, Local Government Asset(s), Utilization of Asset(s), Locally-Generated Revenue (PAD)