Indonesia’s Public Works Minister Addresses Allegations of State Financial Losses
Jakarta – Indonesia’s Minister of Public Works, Dody Hanggodo, has addressed recent resignations within his ministry, attributing them to indications of state financial losses uncovered by the Financial Audit Agency (BPK). The minister revealed that the BPK issued two letters detailing these findings, prompting internal investigations and restructuring efforts.
BPK Findings and Initial Response
According to Minister Hanggodo, the first letter from the BPK, received in January 2025, indicated potential state financial losses of nearly IDR 3 trillion.1 Following this notification, he directed the ministry’s Secretary General and Inspector General to investigate and resolve the issues by June 2025. A subsequent letter in August 2025 revised the estimated losses down to approximately IDR 1 trillion.
Formation of Ad-Hoc Council and New Teams
Despite the initial efforts, a satisfactory resolution was not achieved. Minister Hanggodo then formed an Ad-Hoc Council and teams within each Satker (perform unit) to expedite the recovery of state losses. Still, these teams also faced challenges in making further progress. To accelerate the process, the minister established new teams for each Satker, aiming to avoid disruption to daily operations.
Reactivation of Audit Committee and Collaboration with Attorney General
In a move to strengthen internal oversight, Minister Hanggodo reactivated the Audit Committee within the Ministry of Public Works. He emphasized the importance of this step, acknowledging that not all personnel within the ministry are beyond reproach.2 The minister also collaborated with the Attorney General’s Office, who provided three individuals to assist in the audit process, ensuring impartiality and integrity.
Ongoing Audit and Presidential Oversight
The audit process is currently ongoing under Minister Hanggodo’s coordination. Even as acknowledging that some auditors within the Inspectorate General may not be performing optimally, he affirmed the principle of presumption of innocence. All actions taken are being reported to President Prabowo Subianto, both verbally and in writing, to ensure alignment with presidential directives.3
Dody Hanggodo’s Background
Dody Hanggodo was inaugurated as Minister of Public Works on October 21, 2024, as part of President Prabowo Subianto’s “Red and White Cabinet.”1 Prior to his appointment, he served as Secretary-General of the Public Works and Public Housing (PUPR) Ministry. He is also an entrepreneur with experience in the plantation and shipping industries, having previously served as a commissioner at Senabangun Anekapertiwi, a palm oil plantation company.2