Targeting : Poor and Vulnerable Households in Indonesia
Indonesia has experienced strong economic growth over the last forty years. At the same time, the proportion of Indonesians living below the poverty line has fallen dramatically. Nonetheless, around 12 percent of Indonesians remain in poverty and a...
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Format: | Report |
Language: | English en_US |
Published: |
World Bank, Jakarta
2017
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Online Access: | http://documents.worldbank.org/curated/en/972001468038678922/Targeting-poor-and-vulnerable-households-in-Indonesia http://hdl.handle.net/10986/26700 |
Summary: | Indonesia has experienced strong
economic growth over the last forty years. At the same time,
the proportion of Indonesians living below the poverty line
has fallen dramatically. Nonetheless, around 12 percent of
Indonesians remain in poverty and another 30 percent remain
highly vulnerable to falling into poverty in any given year.
In addition, Indonesia has experienced a number of crises in
the last two decades, and such shocks are likely to continue
in the future in an increasingly integrated global economy.
Over the last fifteen years the Government has been
developing social assistance programs designed to promote
the poor out of poverty and protect poor and vulnerable
households from both individual and more widespread shocks.
The coverage, design and implementation of these programs
continue to be improved as social protection in Indonesia
matures, but a number of issues remain. One of the most
important, and difficult, is how these programs can
accurately target households who need those most. The
challenge is to develop a targeting approach which includes
most of the poor and vulnerable while minimizing leakage to
the rich. At the same time, the system must be feasible,
affordable, and accepted and used by all. Furthermore,
identifying which households are poor is a difficult task in
any developing country, but is particularly so in Indonesia,
which has a very large population, a high degree of
geographic dispersion, decentralization of much budgetary
and operational governance, and frequent entry and exit of
households into and from poverty. This evidence-based report
builds in part on innovative research done collaboratively
with the Government of Indonesia. In this respect Indonesia
is contributing to the frontier of global knowledge on
targeting, while also drawing on the experience of other
countries. Moving from a thorough assessment of the current
effectiveness of targeting in Indonesia, the report contains
practical and detailed recommendations for the future. In
particular, a National Targeting System is proposed, which
envisages developing a single registry of potential
beneficiaries to target social assistance to the right
households, resulting in more accurate and cost-effective
targeting outcomes, and ultimately stronger program impacts. |
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