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Public Works Ministry Seeks $769M Budget Hike for Boarding School Project Backed by President Prabowo

Erfan Maruf
July 9, 2025 | 10:37 pm
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A worker makes the bed at a dormitory designated as the so-called Sekolah Rakyat (people's school), fully funded by the government in Bandung, West Java, Saturday, July 5, 2025. (Antara Photo/Novrian Arbi)
A worker makes the bed at a dormitory designated as the so-called Sekolah Rakyat (people's school), fully funded by the government in Bandung, West Java, Saturday, July 5, 2025. (Antara Photo/Novrian Arbi)

Jakarta. The Public Works Ministry has requested an additional Rp 12.5 trillion ($768.9 million) for its 2025 budget, raising the total to Rp 86.3 trillion ($5.3 billion), citing a presidential mandate to develop a new network of state-funded boarding schools for underprivileged children.

Public Works Minister Dody Hanggodo made the announcement during a hearing with the House of Representatives’ Commission V, which oversees infrastructure and transportation, at the parliamentary complex in Jakarta on Wednesday.

The proposed budget increase is primarily driven by the upcoming launch of the “sekolah rakyat” (people’s school) program -- an initiative by President Prabowo Subianto that aims to provide free education and dormitory facilities for tens of thousands of students from low-income families. The program is scheduled to begin this month.

In addition to the boarding schools, part of the additional funding will support agricultural irrigation projects tied to the government’s food self-sufficiency agenda.

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“The total additional budget we are proposing amounts to Rp 12.5 trillion,” said Dody, explaining that the sekolah rakyat program will convert existing government buildings into national-standard schools complete with classrooms, dormitories, and support facilities.

This marks the latest in a series of budget revisions for the ministry. Its initial 2025 budget was set at Rp 110.95 trillion, but was drastically slashed to Rp 29.57 trillion in a letter from the Finance Ministry dated January 24 amid the government’s aggressive austerity measures. On February 13, the ministry’s budget was increased to Rp 50.48 trillion following approval from Commission V, and then raised again to Rp 73.76 trillion on May 7.

Earlier this week, Dody said renovations have been completed on 63 government buildings in 22 provinces to serve as the first wave of the boarding schools.

“If we’re building for the people of Indonesia, it should be equal from Sabang to Merauke,” he said, noting that most of the repurposed buildings were previously owned by the Ministry of Social Affairs and local governments.

The refurbished facilities will include classrooms, laboratories, libraries, teachers’ rooms, prayer spaces, sports fields, dormitories, dining areas, medical rooms, and staff housing.

In the initial phase, the government plans to establish 200 schools to accommodate 20,000 students. A second phase will involve constructing permanent facilities in collaboration with regional governments, each of which will provide 5–10 hectares of land for development. Once completed, students from temporary facilities will be relocated to these purpose-built campuses.

Each school is expected to serve up to 1,000 students, covering elementary through high school levels.

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