Technical Discussion on The Future of Indonesia’s Social Protection System

As a follow-up to our recent publication entitled “The Future of the Social Protection System in Indonesia: Social Protection for All”, the National Team for the Acceleration of Poverty Reduction (TNP2K) under the Office of the Vice President of the Republic of Indonesia host a technical discussion on The Future of Indonesia’s Social Protection System on Tuesday, 15th of January 2019. 

The objectives of the technical discussion are to present and discuss our proposals and analysis for the improvement of Indonesia’s Social Protection System over the next five years. Relevant discussion points also include projected impacts of proposed schemes, fiscal space availability, and alternative financing mechanisms.

Indonesians face a wide range of risks throughout their lives, beginning in the womb and continuing through to their final days. Life-cycle risks and challenges can affect people’s standard of living, particularly when a comprehensive social protection system is not in place. These risks are exacerbated by widespread low incomes that mean people are less able to respond effectively to a crisis. If these issues are tackled effectively, poverty levels would be reduced significantly and the wellbeing of all citizens would be enhanced. 

The low incomes and insecurity most people experience highlight some key issues for social protection policy. Social protection is a system of regular and predictable transfers, in cash or in kind, that aim to protect people from risks and provide them with income security and the ability to smooth their consumption over the life cycle. In the Indonesian context, the social protection system is comprised of social assistance or non-contributory schemes financed through the government budget and social insurance or social security schemes that are financed through contributions from members. The health insurance scheme is a hybrid, with a government-financed, non-contributory component for the poor and a contributory component for those who can afford it. 

The attached PPTs consist of:
1.    Presentation on Social Protection Strategy Context
2.    Presentation on the Children Age Group Context
3.    Presentation on the Working Age Group Context
4.    Presentation on the Elderly and the Disability Context
5.    Presentation on Impacts and Financing of Social Protection