TRENGGALEK – The Trenggalek regional loan worth Rp70 billion is now rolling out, as local officials push road infrastructure and tourism projects to speed up economic growth.

The Trenggalek Regency Government signed a financing agreement with PT Sarana Multi Infrastruktur (PT SMI) on April 21. With this step, the administration moved forward with a funding plan it had prepared since last year.

Regent Mochamad Nur Arifin said his team designed the scheme early and included it in official planning documents. He added that the loan helps the region move faster despite limited local budget capacity.

“We planned this in advance as part of our development strategy. The financing helps us accelerate projects even with budget constraints,” he said.

The government will direct Rp41 billion toward road infrastructure, while Rp29 billion will support tourism and urban development. The administration expects to complete repayment within 42 months.

Still, officials do not want to rely only on road projects. They also aim to grow sectors that can generate income and strengthen the local economy.

“If we focus only on roads, we improve access but may not see direct returns quickly. So we combine it with tourism and urban development to create stronger economic impact,” Arifin explained.

The government believes better tourism sites and city planning will draw more visitors. Higher traffic, in turn, can open new business opportunities for local residents.

Key locations include Prigi Beach, Goa Lowo, and Dilem Wilis. These areas will serve as a new corridor for tourism-driven growth.

“When the city looks more attractive, more people will come. That increase will naturally create more business opportunities,” he added.

At the same time, Faaris Prasnawa, Director of Public Financing and Project Development at PT SMI, welcomed the move. He said the company continues to support regional governments through structured financing.

“We support both road and tourism projects. We have worked together before, and those projects delivered clear benefits,” he said.

Faaris explained that PT SMI will release funds based on project progress. This approach helps the government track spending and keep the process transparent.

“We tie disbursement to project milestones so we can monitor progress and maintain accountability,” he added.

He also stressed that regional loans can drive growth when leaders manage them carefully.

“Financing can become a powerful tool for development, not a burden, if used properly,” he said.