Promoting Effectiveness of Village Development Through Performance Allocation

The enactment of the Village Law No. 4/2014 (UU Desa) has led to a number of significant changes, especially in terms of central budgeting support for village development. The law regulates the sources of village revenues that can have implications for the special budget allocations to villages sourced from both the national budget (Anggaran Pendapatan dan Belanja Negara: APBN) and regional budget (Anggaran Pendapatan dan Belanja Daerah: APBD). The central transfer fund or Village Fund (Dana Desa) is the source of revenue from the APBN that can be used to finance government administration, development, community guidance, and community empowerment at the village level.