Government to Limit Subsidy Beneficiary Time Allocation

by Chief Editor

Title: Indonesian Social Welfare Minister Proposes Time Limit for Benefit Recipients

In a recent statement, Indonesian Minister of Social Affairs, Saifullah Yusuf, more widely known as Gus Ipul, suggested the introduction of a time limit for recipients of social welfare and cash transfer programs to encourage beneficiaries to move out of poverty and lead more independent lives. This policy change, scheduled for next year, is designed to address the concerns about long-term dependence on such assistance.

Based on data from the Social Service Information and Statistics Center (Pusdatin), Gus Ipul pointed out that there are families who have been receiving benefits for over a decade, specifically the Program Keluarga Harapan (PKH) and general social welfare (bansos). "There are families who have been receiving assistance for 10, 15 years or more. This is not our intention, we want people to be empowered, to improve their economic situation," said Ipul.

One of the proposals to address this issue is to introduce a clear cut-off date for these benefits, aiming to increase the graduation rate from the program. The Minister highlighted, "We aim to have our social welfare spending allocated more to empowering individuals, not just giving them temporary assistance."

As part of his plans to promote sustainability and graduation from these programs, Ipul has set an ambitious target for 340,000 Keluarga Penerima Manfaat (KPM – Beneficiary Families) to complete the program every year. "With one facilitator helping a minimum of 10 families, we are currently assisting around 34,000 families," Ipul noted, adding, "By having 340,000 families graduating annually, we aim to ensure that at least 10 families benefit from each facilitator."

It’s important to note that this isn’t an austerity measure, but rather a long-term strategy to promote independence and empowerment. With 80% of Kemensos’s budget allocated towards social welfare (including PKH and bansos), totalling Rp70 trillion, and a significant portion (Rp44-45 trillion) for bansos alone, Ipul believes there’s room for better distribution.

Gus Ipul stressed the importance of transitioning from providing mere assistance to facilitating empowerment. By encouraging individuals and families to graduate from social welfare programs and become self-sufficient, Ipul aims to transform Indonesia’s social welfare landscape for the better.

(This article is an edited translation of a CNN Indonesia article)

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