Indonesia: Implementing National Policies in a Decentralized Context: Special Purpose Programs to Protect the Poor

Author/Editor:

Ehtisham Ahmad ; Luc E. Leruth

Publication Date:

June 1, 2000

Electronic Access:

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Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

In the context of continuing adjustments in the economy, the Government of Indonesia proposes to bring energy prices closer to long run marginal cost, while adequately compensating the poor. We focus on the constraints on central government policy objectives towards the poor as decentralization takes effect. However, local governments currently lack credible social protection instruments and their objectives usually do not match those of the center, which imposes constraints on program designs. We discuss the suitability of a number of safety net mechanisms in a decentralized context and draw policy implications.

Series:

Working Paper No. 2000/102

Subject:

English

Publication Date:

June 1, 2000

ISBN/ISSN:

9781451852608/1018-5941

Stock No:

WPIEA1022000

Pages:

29

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