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Village funds and poverty reduction in Indonesia: new policy insight

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  • Anam, Choirul
  • Plaček, Michal
  • Valentinov, Vladislav
  • Del Campo, Cristina

Abstract

This short communication describes the current experience of implementing village funds in Indonesia, with an emphasis on the impact on poverty reduction. The authors' field observation is complemented by structured interviews and regression analysis. Our findings suggest that the potential of village funds is not fully realized. We point out that officials underestimated the significance of bottlenecks related to the capacity of local governments, to the implementation of coordination mechanisms, and to the installation of feedback mechanisms, each of which critically hinge on administrative and technical policy processes. At the same time, we felt that the officials overestimated the importance and effectiveness their own political agendas promoting community empowerment and corruption prevention.

Suggested Citation

  • Anam, Choirul & Plaček, Michal & Valentinov, Vladislav & Del Campo, Cristina, 2023. "Village funds and poverty reduction in Indonesia: new policy insight," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 1, pages 1-1.
    • Handle: RePEc:zbw:espost:279439
    DOI: 10.1007/s44282-023-00016-6
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    References listed on IDEAS

    as
    1. Blane D. Lewis, 2015. "Decentralising to Villages in Indonesia: Money (and Other) Mistakes," Public Administration & Development, Blackwell Publishing, vol. 35(5), pages 347-359, December.
    2. Jose A. Puppim De Oliveira & Yijia Jing & Paul Collins & Paul Smoke, 2015. "Rethinking Decentralization: Assessing Challenges to a Popular Public Sector Reform," Public Administration & Development, Blackwell Publishing, vol. 35(2), pages 97-112, May.
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