Development partnership in Indonesia
Stability in Indonesia
Australia is pivoting our long-standing essential services partnerships to support the Indonesian Government to respond to the challenges of COVID-19 in social protection, education and food security. We are working at a national level to support Indonesia as it makes system-wide policy and funding decisions on its COVID-19 response and recovery. We complement this by working at a sub-national level in Indonesia’s decentralised government system to support effective implementation.
We are working with Indonesian civil society partners to ensure that the most vulnerable groups, including women and people with disabilities, are able to access essential services throughout COVID-19. We are building civil society capacity, including women’s leadership, to support communities to advocate for their needs and assist government to improve accessibility.
Australia has also reshaped our law and justice and security partnerships with Indonesia to address shared risks to stability and security in our region. We are harnessing the trusted partnerships between Australian and Indonesian government agencies, including Australia’s Department of Foreign Affairs and Trade, Home Affairs, and Defence to counter the shared threats of terrorism and transnational crime. Working together on our shared commitment to the Women, Peace and Security agenda remains a priority.
Towards a Strong and Prosperous Indonesia Society (MAHKOTA)
$80.8 million, 2015-2021
MAHKOTA supports Indonesia's National Team for the Acceleration of Poverty Reduction (TNP2K). MAHKOTA's objectives are to help enhance the efficiency and effectiveness of existing social protection programs, and to help Indonesia advance its agenda for developing a comprehensive social protection framework. The program does this by:
- generating evidence to inform social assistance policies
- defining policy options and translating policy choices into programs
- providing technical assistance
- providing high-quality monitoring and evaluation
MAHKOTA also supported TNP2K to produce a national strategy for the future of social protection in Indonesia, released in 2019. The strategy has fostered dialogue on further reforms, including establishing social pensions for the elderly and people with disability. Through TNP2K, MAHKOTA has supported Indonesia to introduce an electronic voucher scheme that replaced a less efficient subsidised rice program. The voucher scheme has provided monthly transfers to 20 million households as part of the Government of Indonesia’s COVID-19 economic response.
Since the COVID-19 crisis, MAHKOTA has been supporting Indonesian central ministries and key provincial governments to expand the social safety net and provide rapid financial and food assistance, as well as free electricity to those most in need. In 2020, Indonesia will spend over $20 billion on social protection, reaching more than half of the population.
MAHKOTA also works with the Ministry of Social Affairs on data and referral systems, and supports the Papuan Provincial government to deliver their child grant scheme BANGGA Papua.
|Name of document||Year published||Type|
|Draft Investment Summary for the next phase of social protection support in Indonesia: MAHKOTA||2015||Draft investment summary|
|MAHKOTA Guiding Strategy||2016||Program guiding strategy|
|MAHKOTA Evaluation Strategy||2018||Strategy|
|Indonesia's Non-Cash Social Assistance Reform: An Analysis of TNP2K's Contribution||2018||Evaluation|
|An inclusive child grant in Papua||2020||Report|
|Economic Impacts and Access to Social Protection during the COVID-19 Crisis: The Experiences of People with Disabilities in Indonesia||2020||Policy brief|
- The National Team for the Acceleration of Poverty Reduction website
- The Future of the Social Protection System in Indonesia: Social Protection for All
Innovation for Indonesia’s School Children – Phase 1 and 2 (INOVASI)
$105.6 million, 2016-2023
Through INOVASI we work with both the Indonesian Ministry of Education and Culture and the Ministry of Religious Affairs to improve learning outcomes for all children in Indonesia's basic education sector.
In the first phase of support INOVASI aimed to improve literacy and numeracy, particularly in the early grades. INOVASI piloted a number of approaches to strengthen the quality of teaching and learning in the classroom for all children. INOVASI worked with education stakeholders, including national, provincial and district governments and non-government organisations, to jointly develop solutions appropriate to the local context of four provinces – West Nusa Tenggara, North Kalimantan, Sumba Island in East Nusa Tenggara, and East Java – and supported local government to scale-out effective approaches.
This phase integrates support previously provided by INOVASI and another DFAT-funded program, Technical Assistance for Education Systems Strengthening.
INOVASI Phase II has the same overall goal and will continue to operate at the national and sub-national level in the same four provinces. The program is supporting basic education reform actors to:: implement effective processes that bridge the divide between policy and implementation; and apply sustainable policies, systems and practices – to support all students to achieve competence in foundational skills.
The program is currently prioritising support for Indonesia’s COVID-19 response and recovery in the education sector. Examples of the program’s assistance include: expert technical advice, continuous policy engagement, responsive research, knowledge-sharing and partnership brokering, and supporting the Government of Indonesia to pilot new approaches, including establishing learning from home guidelines and monitoring remote learning practices to inform government policy and funding decisions.
- INOVASI DevPolicy Blog – Language Matters
- INOVASI Website
- INOVASI DevPolicy blog – using PDIA to find solutions in education
- INOVASI Devex article – response to the 2018 Lombok earthquake
Australia-UNICEF Rural and Remote Education Initiative for Papuan Provinces (UNICEF-Papua)
$16.8 million, 2014-2019*
The Rural and Remote Education Initiative for Papuan Provinces program focuses on testing effective and sustainable approaches to improve learning outcomes in early literacy (grades 1-3) in marginalised rural and remote districts in Papua and West Papua (Biak Numfor, Jayapura, Jayawijaya, Mimika, Manokwari and Sorong). This includes capacity development of teachers through training and mentoring, development of locally contextualised learning materials, and policy advocacy at the national and sub-national levels.
The program aims to improve classroom behaviour and practices of teachers; improve reading and comprehension skills of girls and boys in grades two and three; and support local governments to implement strategies to improve literacy. A midline study in August 2017 has shown an increase of readers among early grade students from 37.76% (2015) to 73.48% (2017). The study also shows improved teaching and learning processes, teachers' participation and students' assessment.
*DFAT is currently considering another phase of this program.
|Name of document||Year published||Type|
|Baseline Study||2015||Research Paper|
|Midline Study||2017||Research Paper|
- UNICEF Out of School: Student Absenteeism in Papua
- Learning to Read, Write and Succeed: UNICEF's Literacy Work in Papua
- Papua Can Read Video
- Australia-UNICEF Rural and Remote Education Initiative for Papuan Provinces
Governance for Growth (KOMPAK)
$177.8 million, 2015 – 2022
KOMPAK is an adaptive program that supports the Indonesian government to reduce poverty and inequality by increasing economic opportunities for the poor and by improving access to, and quality of, basic services. KOMPAK does so by working with both national and sub-national government agencies, together with selected non-government actors, to improve the efficiency and effectiveness of Indonesia’s decentralisation policies and practices.
Through KOMPAK, we engage with Bappenas (the Ministry of National Development Planning), the Ministry of Finance, Ministry of Home Affairs, and Ministry of Villages. KOMPAK is being implemented in 24 districts and 311 villages across seven provinces: Aceh, Central Java, East Java, West Nusa Tenggara, South Sulawesi, Papua, and West Papua.
Under KOMPAK we work in three key outcome areas:
- Local government and service units better address the needs of basic service users;
- The poor and vulnerable benefit from improved village governance;
- The poor and vulnerable benefit from increased opportunities for economic development.
In response to the COVID-19 crisis, KOMPAK is assisting different levels of government to refocus local level planning and budgeting to respond to the pandemic; strengthening a new cash transfer program targeting vulnerable groups using Village Funds; reforming village-based data systems for better targeting of social assistance programs and supporting village-owned enterprises to improve economic resilience in villages.
|Name of document||Year published||Type|
|Governance for Growth (KOMPAK) one pager||2015||Draft investment summary|
|KOMPAK Work Plan 2017-2018 [external PDF]||2017||Workplan|
|Gender and Social Inclusion Strategy||2017||Strategy document|
|Joint Supervision Mission Report Implementation of KOMPAK Program In The Regions||2017||Review mission report|
|Independent Progress Review||2018||Review report|
|Management Response to Independent Progress Review||2018||Review management response|
|Performance Management Framework 2018-2022||2018||Framework|
|Program Logic and Ways of Working||2018||Program logic|
|Achievement Report 2015-18||2018||Report|
|KOMPAK Risk and Safeguard Management Plan||2018||Plan|
|KOMPAK Gender Equality and Social Inclusion (GESI) Strategy 2018 – 2022||2018||Strategy|
|KOMPAK Living Design Document||2019||Design|
|KOMPAK Sustainability Plan 2019 – 2022||2019||Strategy|
|KOMPAK Six-Monthly Report January – June 2019||2019||Report|
- KOMPAK website
- Video: KOMPAK Support to Village Administration and Information System (SAIK)
- Video: KOMPAK Support to Legal Identity
World Bank Trust Fund – Improving Dimensions of Teaching, Education Management, and Learning Environment (ID-TEMAN)
$9 million, 2016-2020
Through ID-TEMAN we are supporting Indonesia to reach its education potential by improving teaching and learning through better policy development and implementation. Through targeted technical assistance, the trust fund mainly works in two key areas: effective teaching and learning processes, with a focus on teacher competencies; and improving the delivery of education for all, including school management, financial transfers and teacher deployment.
Financed by the Australian government and World Bank funds, the program started in 2016 and builds on research and analytical work conducted by the World Bank with the Indonesian Ministry of Education and Culture over the last decade.
The ID-TEMAN program is dedicated to identifying key areas for system reform. Program activities aim to strengthen the knowledge base of the Ministry of Education and Culture, the Ministry of Research, Technology and Higher Education, the Ministry of Religious Affairs, and support the Government to improve education outcomes in line with Indonesia's Medium-Term Development Plan targets in education service delivery.
In the context of COVID-19 pandemic, ID-TEMAN’s deliverables have served as a key reference for government officials and stakeholders, as well as contributed key inputs to the World Bank’s analytic activities and operations related to COVID-19. For example, the two ID-TEMAN’s forthcoming Education Flagship report (titled The Promise of Education in Indonesia) and the Service Delivery Indicator (SDI) & Madrasah Management Study Survey report both provided a foundational basis to the World Bank’s Estimates of COVID-19 Impacts on Learning and Earning in Indonesia: How to Turn the Tide.
|Name of document||Year published||Type|
|ID-TEMAN Newsletter January-April 2019||2019||Newsletter|
|ID-TEMAN Brochure: Improving Teaching, Learning and Education Management in Indonesia [PDF]||2019||Brochure|
- Improving Teaching and Learning – The World Bank
- The World Bank and Education in Indonesia
- New blog – Innovative Approach of Indonesian schools on planning and Budgeting
- Promise of Education in Indonesia [PDF]
Australia-Indonesia Partnership for Promoting Rural Incomes through Support for Markets in Agriculture (PRISMA)
$95 million, 2019-2023
PRISMA-2 is the second phase of Australia Indonesia Partnership for Rural Economic Development Program (AIP-Rural). Building on the achievements of AIP-Rural, PRISMA-2 aims to increase the incomes of an additional 700,000 smallholder farming households by a minimum of 30% using a Market Systems Development (MSD) approach. Of the additional 700,000 smallholder farming households targeted through PRISMA-2, at least 60% of these beneficiaries will consist of people living below USD2.50 per day. By the end of Phase 2 the program should see a cumulative one million smallholder farming households with an increased income.
The PRISMA-2 program operates in six provinces, namely East Java, East Nusa Tenggara (NTT), West Nusa Tenggara (NTB), Papua, West Papua and Central Java, as a new province. PRISMA-2 will move from the four-project model under AIP-Rural to a single, integrated program, and it will strengthen the focus on policy influence by equipping decision makers with evidence and the development of strategic partnerships with key policy and agri-business influencers.
The COVID-19 crisis is impacting all facets of the economy, including actors in the agriculture and related market systems. As market actors seek to mitigate challenges created by the pandemic, initial business strategies may need to be adjusted. The private sector plays a crucial role in linking farmers to markets, increasing farmers’ income and providing information services and inputs. PRISMA-2 collaborates with private and public sector partners to consider COVID-19 related constraints and opportunities that arise and help minimize the impacts of COVID-19 on food prices, agricultural production and food security more broadly.
PRISMA-2 has supported the agriculture industry to measure and understand the impact of COVID-19 on farm production and sales, including by collecting information from farmers, agriculture suppliers, traders and resellers on changes to supply, demand and work practices, to inform how the industry responds to COVID-19. PRISMA is also supporting the longer road to recovery by focusing on agricultural sectors that have been most heavily impacted by the pandemic, as well as identifying new ways of working that will increase farming productivity and generate income for farmers during economic recovery, like new types of digital marketing.
|Name of document||Year published||Type|
|PRISMA2 Design Document||2017||Design|
- The AIP Rural Building partnership for impact: Guidelines for implementation staff [PDF]
- Progress Report and Implementation Plan – May 2016 [PDF]
- Progress Report and Implementation Plan – Aug 2016 [PDF]
- Progress Report and Implementation Plan – Aug 2017 [PDF]
- Progress Report and Implementation Plan – March 2018 [PDF]
- Gender and Social Inclusion AIP-PRISMA Strategy Report April 2014 [PDF]
- Gender Mainstreaming Guide for AIP-PRISMA April 2016 [PDF]
- PRIP August 2018 [PDF]
- Activity Completion Report [PDF]
- PRISMA’s website (English)
- PRISMA’s website (Bahasa Indonesia)
Indonesia-Australia Partnership on Food Security in the Red Meat and Cattle Sector (RMCP)
$50 million (plus an additional $10 million in non-Official Development Assistance funding from the Department of Agriculture), 2013-2024
Through RMCP we aim to strengthen long-term economic relations between Indonesia and Australia. This partnership focuses on developing economic opportunities along the cattle and beef sector supply chain in support of Indonesia's food security and promotes closer ties. The Partnership comprises senior government officials and industry representatives from Indonesia and Australia, and provides advice on areas for development in the sector. Through the partnership we are exchanging skills in beef processing, cattle production and husbandry, and agricultural policy. In 2016, we launched the Indonesia Australia Commercial Cattle Breeding Program.
Throughout COVID-19 RMCP has been supporting the meat and cattle industry with business continuity and post-pandemic economic recovery planning. For example, supporting enhanced communication activities such as webinars, training and updating all communication materials.
|Name of document||Year published||Type|
|Indonesia-Australia Partnership on Food Security - Communique||2014||Communique|
|Indonesia Cattle Breeding Program Investment Design||2015||Design|
- Indonesia Australia Red Meat and Cattle Partnership
- Indonesia Australia Commercial Cattle Breeding Program
Australia-Indonesia Partnership for Gender Equality and Women’s Empowerment (MAMPU)
$112.3 million, 2012-2020
Now in its final year, MAMPU works to empower women and improve gender equality in Indonesia. We achieve this by developing women's collective capacity and helping them to influence decision-making at multiple levels – from the village to national parliament.
At the heart of our approach are selected Indonesian civil society organisations (CSOs) that champion women's issues – the MAMPU partners. Through MAMPU we directly and indirectly support over 100 local organisations at national and sub-national levels, working in almost 1,000 villages across 27 of Indonesia's 34 provinces. MAMPU supports these partners to act more collectively and with allies in government and parliament to influence policy changes that will improve women's lives.
MAMPU partners have established more than 3,000 local community groups, with a total membership of more than 70,000 women. Through these groups, women are supported to express their views, convey their priorities publicly, and influence the allocation of state resources for wider benefit, including access to essential services. This network plays a pivotal role in shaping government reforms to the benefit of women and girls.
In response to COVID-19 MAMPU is working with government and civil society partners to ensure poor and vulnerable women can access new social assistance measures and sexual and reproductive healthcare, support alternative livelihoods for informal workers who have lost their jobs; and address the increased risk of violence against women as a result of the pandemic.
Support to Marginalised Groups (Peduli)
$39.4 million, 2014-2021
Peduli is an Australian-Indonesian Government partnership managed by the Asia Foundation (TAF) with broad direction and engagement from the Coordinating Ministry for Human Development and Culture (Kemenko PMK). The Program is implemented through a network of 63 Indonesian civil society organisations in 66 districts across 21 provinces.
Through Peduli we are promoting social inclusion to reduce poverty among marginalised people in Indonesia. This includes efforts to increase access to public services and social assistance, increase social acceptance, protect human rights and improve government policies on social inclusion. The program focuses on six of Indonesia's most marginalised groups: vulnerable children and youth; remote indigenous communities reliant on natural resources; religious minorities; victims of human rights violations; male-to-female transgender (waria); and people with disabilities.
Peduli has assisted over 85,000 beneficiaries, and has strengthened inclusive government through dialogue and policy reforms. The program promotes broader public awareness through specific and targeted media to help build a more positive profile of these marginalised groups that have traditionally experienced negative stereotyping from the mainstream media and public.
Peduli is working with civil society organisations to support marginalised groups impacted by COVID-19, including through provision of personal protective equipment (PPE), food supplies and public health messaging. Peduli is also working with the Ministry of Villages to promote new inclusive village guidance across Indonesia, which will help to ensure marginalised groups are actively considered in village-level responses to COVID-19.
|Name of document||Year published||Type|
|Peduli Program Snapshot||2016||Review|
|Understanding Social Exclusion in Indonesia||2016||Review|
|Summary of Peduli Gender Strategy||2016||Strategy|
|Peduli Monitoring, Evaluation and Learning (MEL) Framework||2018||Monitoring, Evaluation and Learning Framework|
- Program Peduli website
- Exploring the Voices and Livelihoods Choices of Villagers with Disability in Indonesia
- Promoting Religious Minority Inclusion: Case Study of Program Peduli in Oi Bura Village
- Thinking and Working Politically for Social Inclusion: The Waria of Banjarmasin, Indonesia
Australia-Indonesia Partnership for Justice Phase 2 (AIPJ2)
$44 million, 2017-2022
The Australia-Indonesia Partnership for Justice Phase II (AIPJ2) brings two previous Australian aid investments, the Australia Indonesia Partnership for Justice (AIPJ) and the Australia Indonesia Security Cooperation Program under a single investment to strengthen the rule of law and the security environment in Indonesia. It focuses primarily on leveraging Indonesia's own resources to support a range of policy changes. AIPJ2 is a flexible facility to enable iterative programming, in line with the reform priorities of both governments and robust partnerships that have developed between Australian and Indonesian institutions.
In support of the overall goal "Strong and accessible justice and security institutions that enhance respect for enforceable rights and rules-based governance systems, over time contributing to stability and prosperity in Indonesia and the region", AIPJ2 works under three strategies which closely align with the Government of Indonesia’s policy priorities:
- Supporting justice reform and the rule of law which includes work on promoting court transparency and accountability and strengthening criminal justice reform.
- Preventing violent extremism and transnational crime.
- Strengthening human rights focusing on justice for women, girls and people with disabilities.
AIPJ2 is adapting its activities to the COVID-19 context in areas of criminal justice, court services, human rights and access to justice. It is responding to emerging health and security issues, particularly the high risk of COVID-19 outbreaks and increased insecurity within Indonesia’s overcrowded prisons.
|Name of document||Year published||Type|
|Australia Indonesia Partnership for Justice Phase 1 design document||2010||Design|
|Australia Indonesia Partnership for Justice II – Design document||2016||Design|
|AIPJ2 six monthly report (Apr – Dec 2017)||2017||Report|
|AIPJ2 six monthly report (Jan – Jun 2018)||2018||Report|
|AIPJ2 six monthly report (Jul – Dec 2018)||2018||Report|
|AIPJ2 six monthly report (Jan – Jun 2019)||2019||Report|
|Australia Indonesia Partnership for Justice phase 2 (AIPJ2): Independent Review||2019||Independent Review|
- Australia Indonesia Partnership for Justice
- Federal Court of Australia
- AIPJ2 Website
- Australian Attorney-General's Department
- Supreme Court of Indonesia
- Indonesian Corruption Eradication Commission
- Indonesian Ministry of Law and Human Rights
- Indonesian Attorney General's Office
Strengthening Electoral Management
$2.95 million, 2018-2020
Responding to a request from Indonesia’s electoral management bodies, Australia is funding the International Foundation for Electoral Systems (IFES) to work in partnership with local civil society organisations to strengthen electoral management and operations. In particular, IFES is assisting the National Election Commission (KPU) and the National Election Oversight Body (Bawaslu) to:
- improve their IT system including upgrading the electronic voters list, strengthening cybersecurity and preparing policies and regulations related to the implementation of electronic votes recapitulation;
- counter disinformation and incitement to inter-communal violence surrounding elections; and
- monitor political financing.
IFES is also providing advice to KPU and Bawaslu on conducting the 2020 local elections during the pandemic.
Maritime Capacity Building Initiative
$13.2 million, 2018 – 2022
The Maritime Capacity Building Initiative (MCBI) is a 4-year investment designed to strengthen maritime cooperation and capacity in the areas of:
law enforcement; combating illegal, unreported and unregulated (IUU) fishing; improving maritime, port and ship safety; and protecting maritime resources and the marine environment.
Activities implemented under the MCBI are aligned with the priorities of the Joint Declaration on Maritime Cooperation (2017) and its Plan of Action and Pillar 4 of the Australia-Indonesia Comprehensive Strategic Partnership (2018) and its Plan of Action (2020) for implementation.
MCBI activities are adapting to the COVID-19 context including through delivery of learning and capacity building activities online.
Australia-Indonesia Partnership: Knowledge Sector Initiative (KSI)
$105 million, 2012- 2022
The Knowledge Sector Initiative (KSI) is a partnership between the governments of Indonesia and Australia that contributes to more inclusive and equitable growth in Indonesia by supporting the production of high-quality public policy grounded in rigorous research, analysis and evidence.
In its first phase (from 2012 to 2016, $60 million), KSI built the capacity of the 16 Policy Research Institutes (PRIs) through provision of core funding grants to improve their research quality and advocacy on key policy issues.
In phase 2 (from 2017 to 2022, $45 million) KSI continues to work on research production with the same PRIs, but is more focused on their future sustainability, through a strategic partnership grant approach. Building on its earlier achievements, KSI continues to work on the research ecosystem such as research funding mechanisms, research governance, and knowledge management and collaboration.
In responding to COVID-19 KSI’s 16 Indonesian policy research institutes are providing research, analysis and advocacy to inform public policy discussions on COVID-19, ranging from the public health response to Indonesia’s economic stimulus package. COVID-19 stresses the importance of evidence-based policymaking, which is the crux of KSI’s work.
KSI is implemented by a consortium led by RTI International, in association with the Overseas Development Institute (ODI), Australian National University (ANU), and the Nossal Institute for Global Health, University of Melbourne.
Indonesia Project, Australian National University (ANU)
$7 million, 2016-2022
The Indonesia Project was established in 1965. Since inception the Project has been at the forefront of Indonesian studies in Australia and internationally. DFAT has co-financed the Project with ANU since 1980.
The goal of the Project is to contribute to the creation of stronger, research-based public policies in Indonesia – especially in the areas of economic development, human capital, regional development, poverty, gender, governance, environment and social development – by producing and disseminating quality research, conducting public dialogue, building institutional capacity and establishing institutional networks. It also contributes to improved Indonesia literacy in Australia, through regular study groups, public lectures and seminars, and the annual Indonesia Update (the largest gathering of “Indonesianists” outside of Indonesia), as well as internationally through, for example, its triannual publication, the Bulletin of Indonesian Economic Studies (BIES).
The Project is providing data, research and analysis on the impacts of COVID-19 in Indonesia through, for example, its weekly Global Seminar Series. Podcasts and other material are available at www.covid19indonesia.net.
Additional information can be found at the Indonesia Project’s website.
Partnership for Australia-Indonesia Research (PAIR)
$8 million, 2018 – 2022
Partnerships for Australia-Indonesia Research (PAIR) is a four-year partnership program between Australia and Indonesia being implemented by the Australia-Indonesia Centre (AIC). PAIR aims to bring together researchers, policymakers, business partners and the community to find solutions to development problems – in an integrated way. PAIR is supported by the Australian and Indonesian Governments, as well as 11 universities (four Australian and seven Indonesian).
Through the research theme of Connectivity, People and Place, PAIR is creating the evidence base for informed policymaking in South Sulawesi. Research covers four connected areas, each highly relevant for South Sulawesi:
- Commodities (seaweed)
- Transport, Logistics and Supply Chain
- Young People and Development
- Young People’s Health and Wellbeing.
Since the COVID-19 crisis the program has pivoted towards rapid research to understand the impacts on these four areas. Work is now underway to ensure that this research is integrated into their four main areas of work. Pilot projects completed in 2019/2020 will inform larger Strategic Integrated Projects for the remaining two years of the project.
- Partnership for Australia-Indonesia Research (PAIR) website
- Media release on new research projects on COVID-19
Partnership for Knowledge-based Poverty Reduction (PKPR)
$32.7 million, 2010 – 2021
Through the World Bank-managed PKPR trust fund, we support the Government of Indonesia to reduce poverty and inequality by helping it make more evidence-based policy and program decisions. It works in five main areas: improving equality of opportunity; more and better jobs; preventing and mitigating shocks; improving fiscal policy to reduce poverty and inequality; and monitoring and analysing poverty and inequality in Indonesia. For example, the World Bank, through PKPR, helped the Indonesian Government expand the reach of its Family Hope conditional cash transfer program from 3.5 million to 10 million poor households. The program was further expanded to deliver COVID-19 stimulus payments to those most in need of support during the pandemic.
Our approach under PKPR is to deliver high-quality analytical and technical advisory services that is responsive to senior policymakers' reform priorities and emerging development policy issues in Indonesia. The team's 2015 flagship report on inequality, Indonesia's Rising Divide, 2019 report on urbanisation Time to ACT: Realizing Indonesia's Urbanization Potential and 2020 report on social protection Investing in People: Social Protection for Indonesia’s 2045 Vision are examples of how PKPR informs policy priorities and forward-looking strategies on Indonesia's multi-dimensional inequality challenges and poverty reduction agenda.
- Indonesia's Rising Divide
- An Unfair Start: How unequal opportunities affect Indonesia's children [PDF]
- A Perceived Divide [PDF]
- Taxes and Public Spending in Indonesia: Who pays and who benefits? [PDF]
- Indonesia's global workers: juggling opportunities and threats
- Towards a Comprehensive, Integrated, and Effective Social Assistance System in Indonesia
- Time to ACT : Realizing Indonesia's Urban Potential
Abdul Latif Jameel Poverty Action Lab South East Asia Phase II (J-PAL SEA)
$18.4 million, 2012-2022
Our work under J-PAL SEA helps Indonesian policymakers address challenges to growth and poverty reduction by ensuring that social policies are informed by robust evidence. Established at the Massachusetts Institute of Technology (MIT) in 2003, J-PAL is a global network of 227 affiliated professors at universities around the world and seven regional offices that conduct randomised impact evaluations to measure the impact of development and social programs in over 80 countries.
Then-President Yudhoyono launched J-PAL SEA with Australian support at the University of Indonesia in 2013. Through J-PAL SEA we have built partnerships with the Indonesian Government, domestic research organisations and the private sector to evaluate programs, translate this knowledge into policy change, and expand local capacity to generate and use robust evidence.
In supporting Government of Indonesia’s COVID-19 response on the social and economic impacts of COVID-19, J-PAL is undertaking a number of phone or online surveys, developing policy briefs and conducting webinar events for sharing lessons learnt and the experience of other countries in tackling COVID-19.
Pulse Lab Jakarta Phase II
$12.7 million, 2015 – 2023
Pulse Lab Jakarta (PLJ) is a partnership project between United Nations Development Program (UNDP) and the Government of Indonesia (GOI), through its Ministry of National Development Planning (Bappenas).
The Australian Government has provided core funding to UNDP for PLJ since 2015 (Phase I, June 2015-December 2019, $6.7 million and Phase II, April 2019 – June 2023, $6 million). The three main objectives of PLJ are to (1) equip partners with fit-for-purpose methods and data tools needed to respond faster and more effectively to complex challenges, (2) strengthen demand for harnessing insights from non-conventional data sources, and (3) catalyse positive changes in Indonesia’s data ecosystem.
PLJ supports Indonesian policymakers to use digital data sources and technologies to identify community needs, understand the impact of policy, and apply innovative approaches to the delivery of government programs.
In response to COVID-19, PLJ has supported a number of requests from the Government of Indonesia to strengthen its efforts in tackling the pandemic through the provision of big data, artificial intelligence and other non-conventional data source analysis.
Local Solutions to Poverty (LSP)
$191.5 million, 2008-2020
The World Bank-managed LSP trust fund provides analytical and advisory support to help the Government of Indonesia reduce poverty and inequality through improved basic service delivery. Through LSP we engage with central and sub-national governments, village communities and frontline service providers on a wide range of projects.
For example, LSP supported the Ministry of Villages’ Generasi Project until 2018, which empowered local communities to increase utilisation of basic health and education services. The project empowered and maximized communities’ participation in decision-making through citizen engagement tools, such as social mapping, community scorecards, and social monitoring. Following completion of the project, LSP continued to support citizen engagement in village planning and budgeting for health and education services. Further information on the results can be found in the project completion report [PDF].
From 2008 to 2014, LSP was a multi-donor trust fund known as the PNPM Support Facility (PSF). The PSF supported Indonesia's National Program for Community Empowerment (PNPM), which was Indonesia's flagship community-driven development (CDD) program, and one of the most successful CDD projects in the world. In January 2014, PNPM was mainstreamed into government systems under the national Law on Village Development. PSF became LSP and is now focused on supporting GOI to improve the quality of life of poor and vulnerable Indonesians through locally-led innovations under Indonesia's decentralised framework of governance and basic service delivery. These include activities such as Generasi Cerdas Sehat (Healthy and Smart Generation), analytical support to village governance reform, and pilots in village level economic development, teacher performance and accountability (KIAT Guru) and early childhood education and development.
In response to COVID-19, LSP has supported the Government of Indonesia through data collection and analysis on the socio-economic impacts of the pandemic; and through global knowledge-sharing on multiple issues including employment and social assistance. LSP, through the World Bank’s COVID-19 Observatory, has also supported the Government of Indonesia’s rapid response and evidence-based policy making during the pandemic. The Observatory provided data and generated near real time insights to feed into the government’s policy making process.