KPK Flags Irregularities in Indonesia’s $4 Billion Free Meal Program
Jakarta. The Corruption Eradication Commission (KPK) has detected potential irregularities in the Free Nutritious Meal (MBG) program, citing reports of reduced food portions despite full budget allocations.
On Wednesday, KPK Chairman Setyo Budiyanto raised the issue during a meeting with National Nutrition Agency (BGN) Head Dadan Hindayana at the KPK headquarters in Jakarta. He warned that centralized fund distribution through BGN could lead to mismanagement at the regional level.
"We received reports indicating that meals valued at Rp 10,000 ($0.61) are being delivered at only Rp 8,000 worth. This affects food quality and must be addressed," Setyo said on Friday.
Setyo underscored the need for transparent and accountable financial governance. However, he acknowledged that given the program’s significant budget, the potential for fraud remains high.
"There are four key issues to watch for in the MBG program. Fraud is a real possibility. Since everything is centralized at BGN, it becomes challenging to oversee implementation in different regions," he noted.
He also pointed out concerns about the exclusivity of service providers under the Nutritional Fulfillment Service Units (SPPG), urging reforms to ensure fair competition. Additionally, he emphasized the importance of strategically locating food stations (SPPG) to maintain food quality.
Another concern was the inclusion of milk in the MBG program. According to KPK studies, providing milk and biscuits has not been effective in reducing stunting rates, as recipients often receive more biscuits than milk.
"As a result, year after year, the decline in stunting remains minimal. I urge authorities to reassess the nutritional content to ensure that children and pregnant women receive high-quality meals," Setyo said.
He also called for greater community involvement and the use of technology for monitoring, while encouraging the program to source ingredients and workforce locally.
During the meeting, BGN chief Dadan Hindayana revealed that the agency manages a Rp 70 trillion ($4.3 billion) budget for 2025, which could increase to Rp 170 trillion in the future. He requested KPK’s assistance in overseeing the funds.
"We are here today at KPK to seek guidance on managing such a large budget. Next year, the budget is projected to reach Rp 400 trillion. We need oversight support," Dadan said.
The program is a key initiative of President Prabowo Subianto’s administration. Officially launched earlier this year, the program aims to provide meals to nearly 83 million Indonesians, including schoolchildren and expectant mothers, by 2029.
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