Manggarai Barat strengthens asset use to support rising local revenue

Labuan Bajo — Manggarai Barat authorities are stepping up efforts to boost locally generated revenue by optimising the use of regional assets, as officials report rising Pendapatan Asli Daerah (PAD) and explore new ways to leverage government-owned land.

Local revenue in Manggarai Barat has increased in recent years, with the regency’s leadership reporting PAD of around Rp248 billion in 2023 and Rp273 billion in 2024, according to budget and performance documents discussed in regional forums. In 2025 the administration initially set a PAD target of about Rp318 billion in the main budget, before revising it down to approximately Rp280–281 billion in the amended budget.

Subsequent reporting by the local information service and news outlets indicated that PAD collection for 2025 ultimately exceeded the revised target, reaching roughly Rp285–286 billion.

Officials have linked part of this strategy to better utilisation of government assets. At a forum on optimising property tax receipts, Manggarai Barat’s head of the Regional Finance and Asset Agency (BKAD), Salvador Pinto, described how the government aims to enhance tax and non-tax income by making more effective use of land and other assets owned by the regency.

He said the administration is encouraging the use of such assets in ways that comply with existing regulations, with the goal of improving both state and local revenue.

Focus on tourism-linked assets

Tourism-related assets are a key part of Manggarai Barat’s revenue base. Labuan Bajo, as the main gateway to Komodo National Park, hosts a large share of the regency’s hotels and restaurants, which contribute significantly to local taxes. The regional information service reported that the largest components of PAD in 2025 came from hotel and restaurant taxes, helping push overall local revenue above target.

Separate reporting from local media and government channels indicates that Labuan Bajo attractions such as Gua Batu Cermin and publicly owned viewpoints are increasingly being managed with revenue collection in mind. One of these sites, Puncak Waringin, a hilltop viewing area overlooking Labuan Bajo, has been placed under the management of the Manggarai Barat Tourism, Creative Economy and Culture Office (Disparekrafbud), with non-cash payment systems being prepared for visitors.

Pinto has confirmed that Puncak Waringin is treated as a tourism object subject to local retribution, and therefore falls under the tourism office’s operational control.

Asset optimisation and governance

While officials and local media describe a broader push to commercialise regional assets, detailed plans for specific locations are still emerging. Reporting on public finances shows the regency’s total assets were valued at more than Rp4.5 trillion in the 2024 budget, with net equity of about Rp4.3 trillion after accounting for liabilities. The administration has highlighted these figures in discussions with the local legislature as it seeks to improve asset management and reduce debt.

At the same time, Pinto has publicly rejected allegations of irregularities in the granting of rights to use public property, saying that requests to use regional land must follow formal procedures and be reviewed by a dedicated team. He emphasised that applications are assessed for suitability of proposed activities and potential impact on government operations, and that both approvals and rejections are communicated to applicants.

Pinto also noted that the administration has encountered cases where lessees attempted to sublet government land, which he described as contrary to the rules.

Across these statements and reports, the administration’s message has been that more disciplined asset management, alongside tourism taxes and retributions, is central to sustaining PAD growth. However, publicly available information does not provide confirmed figures for any single new tourism investment on government land matching the specific size and terms described in some earlier accounts.

The most detailed disclosures to date relate to overall PAD performance, tax composition and governance procedures rather than a named investor or a signed long-term commercial lease for a particular site.

Sources

• Detik Bali/Nusra – "Aset Pemkab Manggarai Barat Rp 4,5 Triliun, Punya Utang Rp 199 Miliar"
• Pos-Kupang – "Pemkab Manggarai Barat Target PAD 2025 Rp 318 Miliar"
• InfoMabar (official Manggarai Barat information service) – "Realisasi PAD Mabar Tahun 2025 Capai 101,42 Persen"
• Labuan Bajo Terkini – "PAD Manggarai Barat tahun 2025 Tembus Rp285 miliar, Melebihi Target"
• RRI Ende – "Pendapatan Asli Daerah Manggarai Barat Disektor Pariwisata Meningkat"
• Klik Labuanbajo – "Puncak Waringin Labuan Bajo Dikelola Disparekrafbud Manggarai Barat"
• Okebajo – "Respon Kepala BKAD Mabar Terkait Dugaan Praktik ‘Jual-Beli’ Izin Pemanfaatan Aset Pemda"
• Oke Flores – "KPP Ruteng - BPN dan Pemkab Mabar, Gelar FGD Optimalisasi Penerimaan Pajak Property"
• Labuan Bajo Voice – "Efisiensi Anggaran di Manggarai Barat: Pemkab Gelar Asistensi dengan Perangkat Daerah"