The PRAKARSA, Jakarta - Public Policy Research and Advocacy Institute The PRAKARSA launch a report Multidimensional Poverty Index (IKM) in Indonesia 2012-2021 which was packaged in the "National Seminar and Launching of the Multidimensional Poverty Index in Indonesia 2012-2021: Alleviating Extreme Poverty Towards Golden Indonesia 2045". The results of the IKM measurement show a decrease in the number of multidimensionally poor people by around 80 million people, from 120,1 million people in 2012, down to 38,95 million people in 2021. Located at The Sultan Hotel Jakarta on Wednesday, 9 August 2023.
In his opening speech, Ah Maftuchan, Executive Director PRAKARSA explain three reasons PRAKARSA conducting SMI studies. "First, with IKM we can get an in-depth explanation of how and in what context a person becomes poor. In this way, we will be able to answer the classic question 'who is the poor?' Maftuchan said.
The second reason explained by Maftuchan is that the multidimensional approach to poverty has been recognized and welcomed both at the global and national levels. "When IKM was welcomed at the global and national levels, we were moved to participate in welcoming it by conducting a study on IKM in the hope that the results of the study would be useful for alleviating multidimensional poverty in Indonesia."
"Third, this event is one of our campaign tactics with the hope that in the future IKM will be used as the government's official approach in carrying out poverty alleviation interventions in Indonesia," explained Maftuchan.
The 2012-2021 Indonesian SMI Report was presented by Victoria Fanggidae, Deputy Director of The PRAKARSA. In her presentation, Victoria conveyed that the aim of IKM is to portray poverty conditions holistically and not try to eliminate monetary poverty, but to provide a more measurable view in all aspects to reduce poverty. "The trend of the multidimensional poverty rate in Indonesia has decreased, from 49 percent in 2012 to 14,3 percent in 2021. Despite this decline, the multidimensional poverty rate is higher than the poverty rate monetary,” explained Victoria.
Victoria conveyed that the percentage of poor people in rural areas is higher than in urban areas. “Decent housing, proper drinking water and cooking fuel are the main problems of multidimensional poverty in rural areas. Meanwhile in urban areas, decent housing, morbidity and proper drinking water are the main problems of multidimensional poverty," said Victoria.
Victoria further explained, for example on decent housing issues, the 2012-2021 Indonesian IKM report found that as many as 33 out of 34 provinces in Indonesia experienced a deprivation of more than 50%. In 2021 Central Kalimantan Province will become a province in Indonesia with the highest percentage of poor people deprived of the highest decent housing indicator, namely 98,03%. Only the Province of DKI Jakarta has poor people with decent housing conditions (roof, floor, walls) according to the lowest BPS RI standards, namely 44,99%.
Victoria recommends that the Central, Provincial and District/City Governments use the results of multidimensional poverty measurements to determine priority policies/programs for poverty reduction.
The 2012-2021 Indonesian IKM Report was welcomed by Nunung Nuryantono, Deputy for Social Welfare Improvement Coordination at the Coordinating Ministry for PMK. “There are three big strategies for the government to eradicate extreme poverty: first, reducing the burden through social assistance and food fulfillment; second, increasing people's income through job creation; and third, poverty reduction. The results of the calculation of IKM by PRAKARSA relevant to the strategy of eradicating poverty in the country," said Nunung when receiving the report.
In the talk show "Response and Sharing Experiences of Multidimensional Poverty Alleviation in Indonesia," Kunta Wibawa, Secretary General of the Ministry of Health revealed the challenges of equal access to health services in the 3T (underdeveloped, foremost and outermost) regions in Indonesia. "Problems in health services in the 3T area include geographical conditions, low role of the private sector in health services, high cost of living, scarce quality human resources, low utilization of health facilities," he concluded.
Kunta also conveyed the Ministry of Health's strategy in strengthening the health system, including a cross-country health surveillance system. "The Ministry of Health ensures that Indonesia's health services are on par with neighboring countries and ensures public protection from foreign infectious diseases," explained Kunta. Kunta reported that currently Indonesia has 11 health service facilities in 11 National Cross-Border Posts bordering Malaysia, Timor Leste and Papua New Guinea.
Meanwhile, Theresia M. Florensia, Head of the Economic Sector at the East Nusa Tenggara Province Bappelitbangda conveyed poverty alleviation efforts in the NTT Province. "One of the poverty alleviation strategies in NTT is tourism development. Tourism was chosen because it provides a multiplier effect for the community," Theresia explained. In addition, Theresia added, in creating economic effects that have an impact on society, the NTT Provincial Government is also working to make NTT a base for the upstream side of the global supply chain in the fields of R&D, the hatchery/nursery industry, and raw materials for the processing industry.
Theresia also revealed that one of the obstacles to the NTT Provincial Government in building livable houses was the limitation of authority. "The Provincial Government only has two authorities related to this matter, namely the construction of houses due to disasters and relocation as a result of government projects," explained Theresia.
On the same occasion, Nurma Midayanti, Director of Social Resilience Statistics at the Central Bureau of Statistics said that, although different, multidimensional and monetary poverty have similarities. "The proof is that both of them experienced a decline between 2012 and 2021," said Nurma. He also admitted that he assessed that the consumption of the Indonesian people had progressed, while the poverty measurement method used had been the same since 1998. “For example, now people tend to consume processed food, when they used to shop at the market. Therefore, it is necessary to update the method of measuring monetary poverty," said Nurma.
Responding to the sources, Ah MAftuchan believes that the fundamental keyword in accelerating the effectiveness of development management is 'governance'. "Good development governance can be built with meaningful multi-stakeholder participation in development planning, implementation and evaluation processes," said Maftuchan.
Furthermore, Maftuchan stated that the results of the IKM Prakarsa calculation can be used by the Regional Government to prepare poverty alleviation programs. Thus, the preparation of regional budget priorities is formed properly and accurately. "Don't be like now, the regional budgeting process is like 'spreading butter on white bread', the programs are the same, only the numbers are increased a little bit every year," he said. The event was then closed by Purnama Adil Marata, Chairman of the Board of Directors PRAKARSA. "The government should have made the multidimensional poverty index the official benchmark for measuring the level of poverty in our country," said Purnama. Furthermore, he said, "by adopting a multidimensional poverty approach, poverty alleviation strategies can be more targeted and effective," he concluded.
Read the full 2012-2021 IKM report here:
Read material from MPF 2023 talkshow speakers here: