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A Rapid Appraisal of The Implementation of the 2005 Direct Cash Transfer Program in Indonesia : A Case Study in Five Kabupaten/Kota

Author

Listed:
  • Hastuti

    (SMERU)

  • Sudarno Sumarto
  • Nina Toyamah
  • Syaikhu Usman
  • Bambang Sulaksono
  • Sri Budiyati
  • Wenefrida Dwi Widyanti
  • Meuthia Rosfadhila
  • Hariyanti Sadaly
  • Sufiet Erlita
  • R. Justin Sodo
  • Sami Bazzi

Abstract

This report is the result of a rapid assessment of the first phase of the direct cash transfer program that is one part of the fuel subsidy reduction compensation program that is provided to poor households. The early observation and assessment of the administration of this program was needed in order to know the level of achievement of the program and its problems so it can be used as the basis for improving its administration and for planning programs of this type in the future. This assessment was undertaken using a qualitative methodology through in-depth interviews with a number of respondents and the quantitative analysis of secondary data. The investigation results show that time contraints for every phase of the direct cash transfer program, starting from the targeting process, socialization, card distribution, funds allocation to the handling of problems made the implementation appear rushed and its hastiness had an impact on the success of each phase of the implementation. The socialization program is the phase that was assessed as the weakest because it was not done intensively, especially in connection with institutions at the local level that had not yet been formed. In general, other phases of the program implementation proceeded well, although mistargeting triggered the emergence of conflict as the result of social jealousy.

Suggested Citation

  • Hastuti & Sudarno Sumarto & Nina Toyamah & Syaikhu Usman & Bambang Sulaksono & Sri Budiyati & Wenefrida Dwi Widyanti & Meuthia Rosfadhila & Hariyanti Sadaly & Sufiet Erlita & R. Justin Sodo & Sami Baz, 2006. "A Rapid Appraisal of The Implementation of the 2005 Direct Cash Transfer Program in Indonesia : A Case Study in Five Kabupaten/Kota," Development Economics Working Papers 22529, East Asian Bureau of Economic Research.
    • Handle: RePEc:eab:develo:22529
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    Citations

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    Cited by:

    1. Lisa Cameron & Manisha Shah, 2014. "Can Mistargeting Destroy Social Capital and Stimulate Crime? Evidence from a Cash Transfer Program in Indonesia," Economic Development and Cultural Change, University of Chicago Press, vol. 62(2), pages 381-415.
    2. Tohari, Achmad & Parsons, Christopher & Rammohan, Anu, 2017. "Targeting Poverty under Complementarities: Evidence from Indonesia's Unified Targeting System," IZA Discussion Papers 10968, Institute of Labor Economics (IZA).
    3. Tohari, Achmad & Parsons, Christopher & Rammohan, Anu, 2017. "Does Information Empower the Poor? Evidence from Indonesia's Social Security Card," IZA Discussion Papers 11137, Institute of Labor Economics (IZA).
    4. Fanny Salignac & Julien Hanoteau & Ioana Ramia, 2022. "Financial Resilience: A Way Forward Towards Economic Development in Developing Countries," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 160(1), pages 1-33, February.
    5. Bazzi, Samuel & Sumarto, Sudarno & Suryahadi, Asep, 2015. "It's all in the timing: Cash transfers and consumption smoothing in a developing country," Journal of Economic Behavior & Organization, Elsevier, vol. 119(C), pages 267-288.
    6. Tohari, Achmad & Parsons, Christopher & Rammohan, Anu, 2019. "Targeting poverty under complementarities: Evidence from Indonesia's unified targeting system," Journal of Development Economics, Elsevier, vol. 140(C), pages 127-144.

    More about this item

    Keywords

    fuel subsidy; poor; direct cash transfer; social jealousy;
    All these keywords.

    JEL classification:

    • H24 - Public Economics - - Taxation, Subsidies, and Revenue - - - Personal Income and Other Nonbusiness Taxes and Subsidies
    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household

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