GOAL | 01 | No Poverty

Sustainable Development Goal 1 calls for an end to poverty, including child poverty, in all its manifestations, over the next 15 years. It explicitly recognizes that poverty is a multidimensional phenomenon and underscores the important role of national social protection systems and floors as a key instrument to help address poverty.

  • BPS has started developing national measures of child poverty and multidimensional deprivation to enable tracking of progress towards SDG 1.
  • The proportion of Indonesia’s population living below the national poverty line dropped from 24 per cent in 1990 to 11 per cent in 2015. Among children, nearly 14 per cent were living in households below the official poverty line in 2015.
  • Many families live on incomes that are only marginally higher than the national poverty threshold. Doubling the value of the national poverty line would lead to a four-fold increase in the national child poverty rate, up to 60 per cent.
  • Indonesia’s main child-focused social protection schemes are primarily directed at school-age children. They reached an estimated 36 per cent of school-age children in 2015, while coverage of young children under age 6 is below 5 per cent.

What this goal is about

Sustainable Development Goal 1 aims to end poverty in all its forms by 2030. The targets include both global and national-level commitments and differ from the MDGs by including an explicit multidimensional focus and specifically mentioning children. A focus on multidimensional poverty is important to better understand how children are experiencing poverty and in what form, and to allow a more nuanced set of policy responses in poverty-reduction strategies. The indicators under Target 1.2 are therefore of particular relevance to capture child poverty in both monetary and nonmonetary forms.

The Indonesian economy has enjoyed strong and stable economic growth over the past decade and a half, leading to reductions in poverty and improvements in living standards. The national poverty rate fell from 24 per cent in 1990 to around 11 per cent in 2015. Nonetheless, the rate of poverty reduction is slowing down and a large share of the population is vulnerable to falling into poverty, while levels of income inequality are rising (with a Gini coefficient of 0.408 in 2015). This links to SDG 10 which seeks to reduce inequality between and within countries. In response to the new global SDG framework, BPS has started integrating measures of child poverty and multidimensional deprivation in national statistics to enable regular tracking of progress.

Goal 1 explicitly recognizes the important role of national social protection systems and floors, which guarantee income security to all throughout the life cycle, as a key instrument to help address poverty. Growing up in poverty impacts on children’s health and nutrition, their educational attainment and psychosocial well-being which in turn makes it less likely for them to become economically self-sufficient and succeed in the labour market as adults. Social protection is a critical instrument for reducing poverty, especially through the provision of cash transfers that offer regular, predictable support to individuals or households. Many of the world’s most vulnerable citizens, including children, are yet to benefit from social protection programmes. In Indonesia, the National Long-Term Development Plan 2005–2025 aims to ensure that, by 2025, ‘social protection and social security systems are prepared, organized and developed to ensure and strengthen the fulfilment of people’s rights to basic social services. The National Medium-Term Development Plan 2015–2019 reaffirms the Government’s commitment to expand social protection coverage and quality.

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Key statistics & figures

Key statistics & figures

There are wide geographical disparities in levels of child poverty
Percentage of children living below various poverty lines, by province, 2015

Note: National poverty lines vary between provinces and urban and rural areas to take account of differences in the cost of living. The same international poverty line of US$1.9 per person per day (in PPP) was applied irrespective of households’ place of residence.

Source: SUSENAS 2015

65 per cent of children are deprived in at least two nonincome dimensions of poverty
Percentage of children 0–17 years who are simultaneously deprived in multiple dimensions, by number of dimensions, 2016

Note: The MODA analyses child deprivation in six domains of well-being: food and nutrition; health; education; housing; water and sanitation; and protection.

Source: SUSENAS 2016

Overview of Indonesia’s social protection programmes mapped across the life cycle

Nearly 20 million pupils are receiving regular financial support to cover school-related expenses
Number of beneficiaries of the Pintar programme, by province, 2015

Source: TNP2K

Children are at a higher risk of monetary poverty than adults
Children and adults living below the poverty line, by poverty thresholds, 2015

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Source: SUSENAS 2015

Indonesia’s four most populous provinces are home to nearly half of all children below the national poverty line
Percentage distribution of the number of children below the national poverty line, by province, 2015

Source: SUSENAS 2015

There are significant disparities in multidimensional child poverty
Percentage of children 0–17 years who are deprived in two or more out of six non-income dimensions of poverty, by selected characteristics, 2016

Note: The MODA analyses child deprovation in six domains of well-being: food and nutrition; health; education; housing; water and sanitation; and protection.

Source: SUSENAS 2016

Some 3.4 million families were receiving regular financial support from the PKH programme in 2015, though coverage was unevenly spread across the country
Number of household enrolled in the PKH, by province, 2015

Source: TNP2K

The main child-focused social protection schemes reached around 38 per cent of school-age children in 2015, but coverage of pre-school children is less than 5 per cent
Estimated percentage of children receiving a child or social grant, by type of programme and age groups, 2015

Source: Calculations are based on administrative data from the Ministry of Social Affairs, the Ministry of Education and Culture and the Ministry of Religious Affairs via TNP2K. Age-disaggregated figures for the number of PKSA beneficiaries are estimates. Population estimates were derived from the SUSENAS 2015.