RPD Kabupaten Klungkung 2024–2026 — Policy Review

The RPD 2024–2026 is a medium-term “bridging plan” mandated by national regulation when an RPJMD (5-year medium plan) cannot run its full cycle because of elections or the expiration of an RPJPD. In Klungkung’s case, the 2018–2023 RPJMD ended while the new 2025–2045 RPJPD had not yet begun. Thus, this RPD ensures continuity of planning, budgeting, and investment alignment.

For investors, this document matters because it sets clear economic growth targets, sectoral priorities, and governance reforms for the next three years (2024–2026) — effectively the investment rulebook until the new long-term plan takes over.

Strategic alignment

• National: RPD aligns with RPJMN 2020–2024 and anticipates the upcoming RPJMN 2025–2029.

• Provincial (Bali): Fully consistent with Bali’s RPD 2024–2026 priorities — agriculture, marine, tourism, MSME/IKM, education/health, environment, infrastructure, governance.

• Local (Klungkung): Reaffirms four pillars:

  1. Human capital & culture

  2. Infrastructure & service quality

  3. Poverty reduction & economic transformation

  4. Governance reform

Investor read: The same themes found in the RPJPD and RKPDs persist here, reducing policy uncertainty.

Economic growth & investment targets

• PDRB growth: The RPD sets a trajectory for stabilising growth back to ~5.5–5.8% by 2026, recovering fully from COVID impacts.

• Investment inflows: Explicit targets for PMA (foreign investment) and PMDN (domestic investment) are stated — with rising expectations toward Rp 350–400 billion/year by 2025–2026.

• Labour & poverty: Job creation and poverty alleviation are performance metrics; MSME strengthening and tourism recovery are the main vehicles.

Sectoral priorities

1. Tourism & creative economy

• Quality tourism strategy: shift from “volume” to “value” (longer stays, higher spend).

• Anchored on Nusa Penida–Lembongan (fast-growing accommodation sector: 342 → 633 units, 2018–2022) and the Bali Cultural Center at Gunaksa (334 ha).

• Integration with creative industries and cultural heritage.

2. Infrastructure & utilities

• Strong push for roads, water/sanitation, irrigation, drainage, and utilities supporting both households and tourism corridors.

• Digital infrastructure recognised as cross-cutting enabler.

• Disaster-risk infrastructure (flood control, slope protection, resilient facilities) included.

3. Agriculture, fisheries & MSMEs

• MSME/IKM strengthening (finance, licensing, digital market access).

• Agri value-chain development: agro-processing and fisheries product diversification.

• Cooperative models promoted for inclusive participation.

4. Governance & service reform

• Procurement reform (increase UMKM participation & P3DN compliance).

• Performance accountability (SAKIP), internal audit (SPIP), and inspectorate capacity (APIP) improvement.

• Digitalisation of public services and permits.

Financing & delivery

• Public finance: RPD projects gradual recovery of fiscal capacity; aims to optimise capital spending and reduce idle surplus.

• Alternative sources: PPP/KPS, CSR, and grants/loans are all explicitly promoted — signalling room for blended finance models.

• Performance orientation: Targets tied to measurable indicators across infrastructure, poverty, governance, and environment.

ESG and resilience commitments

• Environmental quality, water management, and disaster risk indices are embedded as headline performance indicators.

• RPD aligns with Bali’s green vision: investors who demonstrate waste, water, and energy solutions will find clear entry points.

• Community development and village competitiveness (desa mandiri) are tied to investment attractiveness.

Why this matters for investors

1) A three-year guarantee of direction.
The RPD locks policy priorities through 2026, regardless of political change. This de-risks longer investment cycles.

2) Explicit investment targets.
The rising PMA/PMDN benchmarks show government openness to capital inflows and provide a performance scoreboard for investment facilitation agencies.

3) Clear sector lanes.
Tourism/creative economy, infrastructure, MSMEs, and ESG are locked in as priorities. These are the “least-regret” areas for capital deployment.

4) Governance & procurement reforms reduce friction.
Improved procurement, accountability, and service digitalisation directly improve the ease of doing business in Klungkung.

5) ESG is not optional.
Environmental and disaster-resilience indicators are tracked centrally — projects not aligned with these baselines will face higher risk.

Bottom line

The RPD 2024–2026 is the bridging playbook that secures Klungkung’s strategic direction until the new 2025–2045 RPJPD is enacted. For investors, it offers stability and clarity: growth and capital inflow targets, sectoral priorities, governance reform, and ESG baselines. The safest and most attractive investment opportunities are those that (a) integrate with tourism & creative hubs, (b) deliver infrastructure and utility improvements, (c) strengthen MSME/agri-fishery chains, and (d) quantify ESG/resilience contributions.