Indonesia’s National Nutrition Agency (BGN) currently holds Rp1.6 trillion in unpaid budget arrears to third-party vendors for the 2025 Free Nutritious Meals (MBG) project. According to BGN Deputy Head Agustina Arumsari, the agency’s budget allocation is blocked by the state treasurer, preventing payment for services and construction projects completed during the budget year.
Status of Outstanding Payments and Agency Debt
During a hearing with the House of Representatives (DPR) Commission IX on July 17, 2026, Agustina Arumsari confirmed that the agency owes significant sums to various partners. The largest portion of this debt, totaling Rp1.04 trillion, stems from the construction of Nutrition Fulfillment Service Units (SPPG), also known as MBG kitchens. Other substantial liabilities include Rp330.4 billion for publication and event organizers, as well as Rp111.61 billion for SPPG certification costs.
Additional unpaid invoices listed in the BGN’s financial statements include:
- Government aid for the MBG project: Rp100.64 billion
- Procurement of uniforms, spoons, and call centers: Rp16.11 billion
- University of Defense delivery and transportation fees: Rp7.39 billion
- Technical guidance for food handlers: Rp812.9 million
- Travel expenses: Rp684.3 million
- Incidental vehicle rentals: Rp121.95 million
- Consultant services: Rp200 million
Budget Blockage and Resolution Efforts
The agency’s ability to clear these debts is contingent on the release of funds currently held by the state treasurer. Arumsari stated that BGN intends to settle these arrears this year. The proposed resolution involves the Budget Implementation List mechanism, which is currently undergoing a review by the Directorate General of Budget.
Addressing the impact on vendors, Arumsari acknowledged the delay during the parliamentary session. “We apologize to all third parties, as we have not been able to pay the bills to BGN,” she said. Because the payment mechanism remains under review, the timeline for when these vendors will receive their funds remains subject to the final approval of the Directorate General of Budget.