World Bank2012-06-152012-06-152006-11https://hdl.handle.net/10986/8172Indonesia stands at the threshold of a new era and at an important juncture of its history. After the historic economic, political and social upheavals at the end of the 1990s, Indonesia has started to regain its footing. The country has largely recovered from the economic and financial crisis that threw millions of its citizens back into poverty in 1998 and saw it regress to a low-income status. Recently, it has once again crossed the threshold, making it one of the world's emergent middle-income countries. Likewise, poverty rates that increased by over one-third during the crisis fell back to pre-crisis levels in 2005, despite rising somewhat in 2006 largely driven by hefty rice price increases in late 2005 and early 2006. Meanwhile, politically and socially Indonesia has seen some major transformations: it is now a country with a vibrant emergent democracy, a newly decentralized government, and far greater social openness and public debate. The purpose of this report is to identify the nature and key constraints to poverty reduction in today's Indonesia and to provide concrete recommendations on how Indonesia can move forward to achieve its poverty reduction objectives. It aims to contribute to the policy debate and decision-making process in Indonesia by putting forth: (i) new and more comprehensive analysis of empirical poverty diagnostics; and (ii) suggestions on concrete policies and programs for a strategic action-plan to achieve Indonesia's stated poverty-reduction objectives. This report lays out how Indonesia can better align policies and programs to achieve the key poverty indicators in which Indonesia is lagging and that are identified by planning documents such as the National Strategy for Poverty Reduction (SNPK) and Medium-Term Development Plan (RPJM).en-USCC BY 3.0 IGOACCESS TO INFRASTRUCTUREACCESS TO SANITATIONACCESS TO SERVICESAGRICULTURAL DEVELOPMENTAGRICULTURAL INCOMESAGRICULTURAL PRODUCTIVITYAGRICULTURAL RESEARCHAGRICULTURAL SECTORAGRICULTURAL SECTORSAGRICULTURAL WORKERSBASIC EDUCATIONBASIC HEALTHCAREBASIC INFRASTRUCTURECASH TRANSFER PROGRAMCASH TRANSFER PROGRAMSCASH TRANSFERSCHANGES IN POVERTYCHILD MORTALITYCHRONIC POVERTYCIVIL SOCIETYCOMMUNITY HEALTHCOMMUNITY MANAGEMENTCOMPETITIVE EXCHANGECOMPETITIVE EXCHANGE RATECONSUMER PRICE INDEXCOPING MECHANISMSCREDIT SCHEMEDETERMINANT OF POVERTYDETERMINANTS OF POVERTYDEVELOPING COUNTRIESDEVELOPMENT GOALSDEVELOPMENT INDICATORSDEVELOPMENT REPORTDEVELOPMENT STRATEGYDIMENSIONAL POVERTYDIMENSIONS OF POVERTYDIVERSIFICATIONDRINKING WATERECONOMIC GROWTHECONOMICSEDUCATIONAL ATTAINMENTFARM ACTIVITIESFARM EMPLOYMENTFARM PRODUCTIVITYFARMERSFINANCIAL CRISISFOOD CONTROLFOOD PRICEGROWTH PROCESSHEALTH EXPENDITUREHEALTH INSURANCEHOUSEHOLD CONSUMPTIONHOUSEHOLD HEADSHOUSEHOLD INCOMEHUMAN CAPITALHUMAN DEVELOPMENTHUMAN DEVELOPMENT INDEXIMPACT OF SHOCKSIN KIND TRANSFERSINCOMEINCOME DISTRIBUTIONINCOME GROUPSINCOME GROWTHINCOME POVERTYINEQUALITYINFANT MORTALITYINFANT MORTALITY RATEINFLATION RATEINFORMAL ECONOMYINVESTMENT CLIMATEIRRIGATIONLABOR FORCELABOR MARKETLAGGING REGIONSLAND MANAGEMENTLAND TITLINGLIVING STANDARDSLOW INFLATIONLOW-INCOME COUNTRIESMACROECONOMIC SHOCKSMACROECONOMIC STABILITYMACROECONOMIC STABILIZATIONMALNUTRITIONMATERNAL HEALTHMATERNAL MORTALITYNATIONAL POVERTYNATIONAL POVERTY LINENATIONAL POVERTY RATENEGATIVE IMPACTNON-INCOME DIMENSIONSNUTRITIONOUTPUT GROWTHPARTICIPATORY POVERTY ASSESSMENTPER CAPITA INCOMEPOLICY DEBATEPOLICY IMPLICATIONSPOORPOOR CHILDRENPOOR CLIENTSPOOR HOUSEHOLDPOOR HOUSEHOLDSPOOR PAYPOOR PEOPLEPOOR POLICIESPOVERTY ANALYSISPOVERTY ASSESSMENTPOVERTY ASSESSMENTSPOVERTY CHANGESPOVERTY HEADCOUNT RATEPOVERTY IMPACTPOVERTY INCIDENCEPOVERTY INCREASEPOVERTY LEVELSPOVERTY LINESPOVERTY MAPSPOVERTY MEASUREPOVERTY PROGRAMSPOVERTY RATEPOVERTY RATESPOVERTY REDUCINGPOVERTY REDUCTIONPOVERTY REDUCTION EFFORTSPOVERTY REDUCTION STRATEGIESPOVERTY REDUCTION STRATEGYPOVERTY TARGETPRICE STABILITYPRICE STABILIZATIONPRO-POORPRO-POOR GROWTHPRODUCTION SUPPORTPUBLIC EXPENDITUREPUBLIC EXPENDITURESPUBLIC FUNDSPUBLIC SPENDINGPUBLIC WORKSQUALITY OF LIFEREDUCING POVERTYREGIONAL DEVELOPMENTREGIONAL DIFFERENCESREGIONAL DISPARITIESREGIONAL DIVERSITYREGIONAL GOVERNMENTREGIONAL INEQUALITIESREGIONAL POVERTYREMOTE AREASRISK MANAGEMENTRURALRURAL AREASRURAL CREDITRURAL DEVELOPMENTRURAL ECONOMYRURAL ENTERPRISESRURAL HOUSEHOLDSRURAL INFRASTRUCTURERURAL INVESTMENTRURAL POORRURAL POPULATIONRURAL ROADSSAFETY NETSANITATIONSCHOOLINGSMALL-SCALE AGRICULTURESOCIAL PROTECTIONSSNSTRUCTURAL TRANSFORMATIONSUBSISTENCETARGETED SOCIAL PROGRAMSTARGETED TRANSFERSTARGETINGTOTAL POVERTYTOTAL POVERTY RATEUNEMPLOYMENTUNIVERSAL SUBSIDIESURBAN AREASURBAN GROWTHURBAN POORURBAN POVERTYVULNERABILITY ASSESSMENTWATER USERSWATER USERS ASSOCIATIONSWELFARE BENEFITSWorld Bank10.1596/8172