Voluntary National Review 2019

Empowering People and Ensuring Inclusiveness and Equality in Indonesia

For the Republic of Indonesia, implementing national development agenda is implementing SDGs. The SDGs are institutionalized from the highest national level to subnational entities, and integrated in national and subnational development planning. This is a massive and collaborative endeavor between government and non-state actors designed to serve 264 million people – a third of which are children – comprising 1,300 ethnic groups across 17,000 islands.

Indonesia is being successful in reducing inequality, complemented by sustained and inclusive economic growth and accountable governance. Poverty has been reduced to single digit for the first time in history, job opportunities and access to education increased at all levels, while GHG emission and disaster risks were reduced.

This VNR has been developed with inclusive approach and through online and offline consultations. This is our story:

Inclusive and Consistent Economic Growth

  • GDP grew consistently by 5% annually (2014-2018).
  • In 2015-2018, unemployment rate decreased with lower female unemployment rate from 6.4% to 5.3%, and 9.38 million jobs were created.
  • In 2014-2018, poverty rate decreased from 11.25% to 9.82% and Gini Ratio decreased from 0.414 to 0.384.
  • In 2014-2017, financial inclusion increased from 36% to 49%, with an increase of financial access for the poorest from 22% to 37%.

Achieving near universal education

  • In 2015-2018, adjusted net attendance rate at preprimary education increased from 79.4% to 83.3%, Gross Enrollment Rate at Junior Secondary School increased from 91.17% to 91.52%, at Senior Secondary School increased from 78.02% to 80.68% and Tertiary level increased from 25.26% to 30.19%.
  • Gender inequality at all levels is almost non-existent, while access to Primary and Junior Secondary School is almost equal across income groups.
  • Almost half of youth participates in formal and non-formal education.

Sustaining Climate Action and Managing Disaster

  • Low Carbon Development has been mainstreamed in the national development planning agenda.
  • During 2010-2017, GHG emission has been reduced by 22.5% from baseline accumulative of 13 billion ton CO2e, and its intensity by 27% from baseline of 560 ton CO2e per billion rupiah.
  • During 2010-2017, enhanced disaster management has reduced the number of deaths and missing persons with decrease of direct economic loss by 7 trillion rupiah. The Disaster Risk Index has been reduced by 23.97% (2018).

Realizing Access to Justice and Inclusive Institutions

  • Indonesia’s Democracy Index increased from 70.09 (2016) to 72.11 (2017).
  • Indonesia’s Anti-Corruption Behavior Index increased from 3.59 (2015) to 3.66 (2018).
  • Birth registration covered 83.55% of all children, 77.11% of children in the poorest households, and 71.92% among under-fives (2018).
  • In 2015-2018, ±45,000 legal aid and ±83,000 non-litigation activities were provided for the poor.

Innovative Development Financing

  • Innovative instruments, including Green Sukuk, blended finance, Islamic charity, social impact investments have leveraged resource flows from both public and private sources for SDG financing.
  • SDGs Financing Hub has been established to reduce financing gaps and implement innovative financing sources through multi-stakeholder collaboration.

Broad, inclusive National Process and Strategic Partnership Building

  • Parliament is involved since early stages of SDGs conceptualization, whereas the Supreme Audit Board is involved in auditing SDGs preparation and implementation.
  • 9 SDGs Centers have been established in prominent national universities.
  • South-South and Triangular Cooperation have been strengthened with more partner countries and the nexus between peace, humanitarian assistance, and development.

Overcoming Challenges

  • Remaining general challenges are universal access, equal opportunity and treatment for all. Strong concerns include: limited access to responsive public services, unequal quality education and economic opportunity, limited compliance of public services with national standards, as well as inadequate data and information.
  • On good governance: corruption, lack of access to and quality of public information, and lack of inclusive data in policy making and implementation.
  • On disaster risks and climate change: disaster preparedness, energy diversification, and efficient use of natural resources.
  • On domestic resource mobilization: more innovation is needed, particularly on tax compliance and administration.
  • Specifically for vulnerable groups: preventing violence against children and providing equal opportunities to youth and people with disability.

The Way Forward

Indonesia’s development priorities include strengthening human development through poverty reduction and basic services improvement; reducing regional disparities through connectivity and maritime development; increasing economic value added and job creation; and overcoming the digital divide.

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