Social protection systems were introduced in Indonesia in the wake of the 1997 financial crisis, which had devastating consequences for the national economy and society. This report reviews the introduction of social protection systems in Indonesia, how they have developed over time and the programmes that are involved.
It also looks at how social protection systems have contributed to social and economic development in Indonesia, for example:
- While social protection programmes in Indonesia achieve a high degree of coverage, the evidence suggests that the actual benefits that the programmes bring to the poor and other vulnerable groups are much less significant.
- Although it is too early to evaluate the long-term impact on poor households’ health outcomes, there is clear evidence that the system appears to be effective in improving access and use of health facilities.
- Empirical evidence of educational outcomes suggests that social protection programmes have helped improve school enrolment, education provision and outcomes, and reduce dropout rates.
- There has been little impact on gender relations – at least in the short-term.
- The impact on poverty is contingent upon targeting, and several studies have found that the Indonesian social protection system has been undermined by significant leakage to the non-poor.
