PRESIDENT: REGIONS NOW SPEARHEADS OF DEVELOPMENT

Jakarta, Aug. 3 (ANTARA) - (Indonesia's regions are now the spearheads of national development to improve the people's welfare, according to President Susilo Bambang Yudhoyono.

"I have repeatedly said that when the regions are advanced and prosperous, the country will automatically also be advanced and prosperous," Yudhoyono said in his state address introducing the government's financial note and the Draft 2010 State Budget before the House of Representatives (DPR) here on Monday.

The budget allocation to regions had grown significantly in line with the increase in regional responsibility and authority, according to the head of state.

Over the last five years, the amount of State Budget funds transferred to the regions had jumped by more than double from Rp150.5 trillion in 2005 to Rp309.8 trillion in the Draft 2010 State Budget, or an average increase of 19.8 percent per year.

"The substantial State Budget funds allocated to the regions reflect our collective commitment to consistently and responsibly carry out decentralization and autonomy," Yudhoyono said.

However, he stated that the more responsibilities are transferred to the regions, the more budget allocation is also decentralized.

"On this auspicious occasion, I would like to express my gratitude and highest appreciation to the rank and file of regional governments, because during the last two years - 2007 and 2008 - all provinces have succeeded in lowering their poverty levels. Indeed, the declines of the poverty level varied," he said.

The biggest decline percentage occurred in West Papua and Papua provinces where the poverty levels dropped around four percent.

"Similarly, the unemployment levels have also come down in 31 provinces during the last two years. The the greatest decline in the unemployment rate happened in Central Sulawesi," he said.

Finally, he reminded all regional officials to be competent and responsible in managing the funds, and not to mismanage or corrupt the funds.