income country where responsive institutions matter, and citizens wish to hold the government more

Transcription

1

2 income country where responsive institutions matter, and citizens wish to hold the government more

3 Social Development Indonesia Overview of Social Development Unit Activities Background Over the last decade Indonesia s political and governance systems have gone through a historic, but still incomplete, transformation. As a result, the nation is now in a stage of democratic development as a middleincome country where responsive institutions matter, and citizens wish to hold the government more accountable for service delivery and equitable poverty reduction. The three decades of President Suharto s rule were characterized by high macro-economic growth rates and highly centralized administrative systems. Since Suharto s departure in 1998, governance reforms have taken a more central role in Indonesia s development, alongside macro-economic growth. Over the last ten years Indonesia has held two national elections (including its first direct presidential elections in 2004) plus a myriad of elections for local officials all of which have been generally peaceful and democratic. Sweeping decentralization reforms took place in 2001, devolving significant power (but insufficient resources) to Indonesia s 471 districts and cities. Though political reforms have taken place, local governments capacity is often weak and a citizenry weaned on authoritarianism is still learning to demand good governance from elected officials. Economically, Indonesia has made significant progress since the Asian Economic Crisis of Real GDP has been growing at 5 to 6 percent annually since 2002, and this economic growth over the past six years has benefited the poor; the poverty rate declined from 17.4 in 2003 to 15.4 percent in

4 While Indonesia s macro-economic progress has been solid, there are concerns regarding the slow pace of poverty reduction and extensive vulnerability, particularly as the global economic crisis expands. Indonesia is one of 40 nations classified as highly exposed to negative consequences from the current global economic crisis. Approximately 15.4 percent of the population (35 million persons) lives below the national poverty line, and another 42 percent (95 million people) are vulnerable to falling into poverty if their circumstances suddenly deteriorate, bringing the total number of poor and at risk of poverty to 130 million. Public services, especially for the poor, are inadequate for a middle-income country, and non-income poverty is a major problem. Malnutrition, maternal mortality, inadequate access to safe water and sanitation, and education outcomes all remain problematic areas. Furthermore, inequality is increasing and disparities between regions remain high. Begun in 1998, the Bank-supported Kecamatan Development Program (KDP) responded to the economic and political crisis: it brought resources directly to Indonesia s poorest rural communities by providing funds to the kecamatan or sub-district level, and brought the importance of good local governance and citizens direct participation to the forefront of what was once a highly centralized, authoritarian context. The Social Development portfolio has evolved and expanded over the past ten years based upon needs identified through the implementation of KDP. The Unit combines operations with analytical work and rigorous monitoring and evaluation to inform policy and programming. In addition, the Social Development team incorporates innovative operational pilots which are replicable - and original analytical work into the portfolio to move the knowledge and operational frontier forward. Social Development Department Overview The World Bank Indonesia s Social Development Portfolio is based upon the following principles: Demand-side governance and accountability; Community participation; Importance of analytics combined with operations and policy work; and Innovation. These core principles drive the Unit s operations and research agenda. On the operations side, KDP/PNPM-Rural 1 forms the cornerstone of the Government s national poverty reduction program at the community level. The Social Development Unit provides financial and operational support to PNPM as it scales up to reach all 70,000 villages across Indonesia in The Support for Poor and Disadvantaged Areas Project (SPADA) added a district service delivery element to KDP in 2002 by trying to improve district level planning and service delivery, especially in more poor and remote areas of the country. PNPM-Rural also serves as the main national platform for other innovative community pilot experiments, including the Community Conditional Cash Transfer, the only program of its kind in the world. 1 In 2007, the Government decided to change the name of KDP to the National Program for Community Empowerment in Rural Areas (PNPM-Rural) and adapt it as its flagship community-based poverty reduction program. 2

5 The Unit s analytical work provides critical support to KDP/PNPM-Rural while laying the foundation for future innovation. Analytical work examines social structure, access to services, community participation, and governance with an eye toward refining the KDP/PNPM-Rural community driven development model. All AAA work provides direct empirical evidence and research to inform operations and policy guidance to national and local level government. Within the new Country Partnership Strategy, Social Development engages in the areas of national and local government reform as well as community development and social protection. Current Social Development Portfolio Budget Current Active Portfolio: US$1.3 billion total Active Loan Portfolio: US$1.0 billion (KDP/PNPM-Rural series, SPADA) Trust Fund Portfolio: US$300 million The total active portfolio budget managed by the Social Development Unit is US$1.3 billion consisting of US$1 billion in active loans (KDP3a, 3b, 3AF, PNPM-Rural, PNPM-Rural AF, and SPADA) and $300 million in trust funds. This brief is structured as follows: I. Operations work a. PNPM-Rural b. PNPM-Rural operational pilots c. SPADA II. Analytical Work a. Evaluations b. Conflict and Development c. Justice for the Poor d. Gender Programs 3

6 4

7 Social Development Indonesia Background Operations Under Social Development There are two main World Bank-supported operations housed within the Indonesia Social Development Unit: (a) The National Community Empowerment Program in Rural Areas (PNPM-Rural, formerly KDP), its seven operational pilot programs; and (b) Support for Poor and Disadvantaged Areas (SPADA). SPADA has two components, one that is national in scope, and another that specifically targets communities in Aceh and Nias Program Activities A. 1. KDP/PNPM-RURAL OPERATIONS PNPM-Rural Funding: US$1.2 billion, 75 percent from national and local government resources Scope: National Duration: WB commitment until 2012, GOI plans for 2015 Implementing Agency: Community Development Office, Ministry of Home Affairs 5

8 To date, KDP/PNPM Rural has achieved the following: PNPM-Rural aims to reduce poverty and improve local governance through the provision of investment resources to support productive proposals developed by communities, using a participatory planning process. PNPM-Rural provides block grants to communities ranging from US$90,000 to US$300,000 (depending upon poverty and population size). PNPM-Rural guides communities through a local participatory planning and decisionmaking process allowing communities to select from an open menu of activities (with some limitations). Rigorous monitoring and evaluation has taken place throughout KDP/PNPM-Rural s history. The Government has scaled up PNPM to cover the entire country in Reduced poverty. A recent impact evaluation illustrated that per capita consumption gains were 11 percentage points higher among poor households in KDP/PNPM-Rural areas than in the control areas. Also, the proportion of households moving out of poverty in poor kecamatan was 9.2 percent higher in KDP/PNPM-Rural areas compared to control areas. Vulnerable households near the poverty line are less at risk of falling into poverty as a result of KDP/PNPM-Rural participation. Generated employment. As of December 2007, approximately 72 million workdays have been created through KDP/PNPM-Rural. In comparison with control areas, KDP/PNPM-Rural has reduced unemployment by 1.5 percent. Filled Indonesia s tertiary infrastructure gap. As of April 2008, over 40,000 kms of roads, 10,500 clean water supply units, 11,000 irrigation schemes, 3,800 village health posts, and 6,700 new schools have been built or rehabilitated, along with 23,000 other types of economically productive infrastructure. Produced quality, cost-effective infrastructure. Independent evaluations of the technical quality for infrastructure works classified 91 to 93 percent of the infrastructure as good to very good. Also, village infrastructure built through KDP/PNPM methods costs significantly less on average 56 percent less than equivalent works built through government contracts. Brought local communities into the development process. Community participation in KDP/ PNPM is high. Participation of women in KDP/PNPM Rural meetings ranges from 31 to 60 percent. Nearly 60 percent of those who attend KDP/PNPM Rural planning meetings are from the poorer segments of the community. KDP/PNPM-Rural is funded through World Bank loans/credits, national and local government resources, community contributions, and trust funds. For 2009, the Government of Indonesia and local community contributions account for 75% of the total PNPM-Rural budget. 6

9 Overview of KDP/PNPM-Rural Scale-up ( ) Program Years IBRD/IDA GOI Contrib. % of No. of No. of Kec (US$ million) (US$ million) total Villages % of total KDP % 20,671 30% KDP Supplemental % 20,671 30% KDP ,316 33% 22,000 32% KDP3a % 14,200 20% KDP3b % 11,800 17% KDP3b AF ,800 34% 36,000 52% PNPM-Rural ,864 45% 38,376 55% PNPM-Rural AF ,371 68% 57,266 82% 2009 Total /a 1, , ,408 70,000 For 2009, PNPM-UPP and other PNPM projects cover all other locations. /a Total areas for the country change each year due to district, sub-district and village splitting and changes in geographical boundary demarcations. Percentage of total represents the percentage with total specifically for the said year. In response to the current financial crisis, the Government is looking towards PNPM-Rural and other national poverty programs to provide possible channels to disburse quickly critical spending to the poor, if needed due to the financial crisis. The WB PNPM-Rural team led Pillar 2 of the recent $2 billion WB stand-by loan to sustain critical public expenditure in light of the crisis. The Social Development team will provide technical assistance for establishing a national poverty monitoring system as well as a response mechanism to the crisis. 2. PNPM-Rural Pilot Programs PNPM-Rural includes seven major operational pilots funded through World Bank loans and trust funds from several bilateral donors (The Netherlands, Australia, Denmark, Canada, Japan, and the UK). All of the pilots build upon the main PNPM platform and the principles of community participatory engagement, and are designed to respond to particular environmental/ political constraints or achieve specific development goals. Community CCT PNPM A Healthy and Bright Generation (PNPM Generasi) Funding: US$78 million Duration: ongoing Scope: 5 provinces: East Nusa Tenggara, West Java, East Java, North Sulawesi, Gorontalo PNPM Generasi is the world s only Community Conditional Cash Transfer program. The program targets three Millennium Development Goals lagging in Indonesia: achievement of universal basic education, reduction in child mortality, and improvement in maternal health. The pilot program presently reaches 2,144 villages. The current beneficiary total is 2.5 million. PNPM-Generasi builds upon ten years of lessons learned from and mechanisms developed under the Kecamatan Development Program. It uses community planning and block grants to reach 12 health and education indicators. Communities work with facilitators, and health and education service providers to identify locally appropriate solutions to increasing access to and use of health and education services. Block grants can be used to address either supply or demand constraints, depending on where the need is the greatest. 7

10 Common health activities in PNPM-Generasi locations include: improving access to and equipment for health facilities; intensive feeding for malnourished children; transportation costs for midwives and mothers; seed funds for group savings for deliveries and related complications; and subsidizing fees for delivery. Common education activities include transportation money, uniforms, and school supplies for poor students. Aceh: Fund for Village Welfare Assistance (BKPG) Funding: US$107 million from the Government of Aceh (GOA) for the first year Duration: January 2009 January 2012 GOA has committed to 2 years of funding but may continue Scope: Aceh Province Ten years of experience with KDP and the success of CDD-based posttsunami reconstruction efforts led GOA to initiate the BKPG pilot program to provide continued support for village-level participatory development. In 2009, GOA allocated approximately US$90 million as block grant investment funds for villagers, in addition to the approximately US$17 million in block grant funding from the central government. Through BKPG, each village will receive Rp. 150 million, or about US$14,000, in block grants. PNPM-Rural will facilitate the PNPM-BKPG planning and implementation process. Nias: Kecamatan Rehabilitation, Reconstruction and Planning Project (KRRP) Funding: US$52 million Duration: February 2007 December 2009 Scope: Nias Province KRRP is a community-based recovery and planning project designed to assist tsunami- and earthquakeaffected communities on the island of Nias. KRRP supports the efforts of the Aceh and Nias Rehabilitation and Reconstruction Agency (BRR), and is working to construct/rebuild houses, schools, village office buildings, and basic public infrastructure (i.e. access roads, bridges, and drainage systems). To date, KRRP has begun construction on 2,145 of the total houses targeted; on average, housing construction for individual units is 60 percent complete. KRRP estimates to have 500 units completed by the end of February KRRP has also begun construction on 11 schools, 5 village office buildings, and basic public infrastructure projects in 26 villages. Papua: Rencana Strategis Pembangunan Kampung (RESPEK) Funding: US$47 million Duration: March 2008 December 2011 Scope: Papua and West Papua provinces RESPEK or the Strategic Plan for Village Development, is a CDD program based upon KDP and initiated by the provincial governments of Papua and West Papua in 2007 to spur village development in the focal areas of: (a) nutrition; (b) basic education; (c) primary health care; (d) local economic development; and (e) village infrastructure. Working through PNPM s mechanism, RESPEK provides block grants of Rp. 100 million (approximately US$10,000) from the provincial governments Special Autonomy fund to all villages in Papua and West Papua. Sub-district governments also each receive grants of Rp. 100 million to support program implementation. The World Bank s Social Development Sector, at the request of the local government, and with support from AusAID and the Japan Social Development Fund, is also implementing a variety of related initiatives that seek to strengthen the participation of marginalized groups, particularly women and indigenous Papuans, and to build their confidence, skills, and broader employment prospects. 8

11 Green PNPM Funding: US$59 million Duration: March 2007 December 2012 Scope: 10 Provinces: Aceh, North Sumatra, West Sumatra, Bengkulu, South Sulawesi, Southeast Sulawesi, West Sulawesi, North Sulawesi, Papua, and West Papua. Green PNPM is a pilot program specifically designed to assist rural communities in enhancing their livelihoods by investing in Natural Resource Management (NRM) and Renewable Energy (RE) projects. The pilot is supported through trust funds from CIDA, The Royal Netherlands Embassy, DANIDA, AusAid and GTZ. Operating through PNPM s standard mechanism, Green PNPM supports community block grants and related technical assistance to implement green projects in ten initial target provinces in Sulawesi, Sumatra and Papua. Green PNPM places a particular emphasis on the implementation of micro-hydro power schemes, which program designers have identified as a cost-effective approach to rural electrification that concurrently necessitates sustainable NRM practices. Smallholder Agribusiness Development Initiative (SADI) Funding: US$5 million Duration: Scope: 4 Provinces: South and Southeast Sulawesi, West and East Nusa Tenggara SADI program aims to reduce rural poverty and increase household incomes of poor small landholders in eastern Indonesia by lifting smallholder farming from traditional subsistence levels to a more sustainable, business-oriented agricultural economy. SADI is funded by the Australian Government, with programmatic and financial oversight provided by the World Bank, the International Finance Corporation IFC, and the Australian Centre for International Agriculture Research (ACIAR). The World Bank s Social Development Unit oversees the block grant aspect that allows farmers to apply for funds for training, demonstration plots, or technologies that will help them collectively improve their agricultural livelihoods. Creative Communities Funding: US$1.6 million Duration: May 2008 April 2009 Scope: 30 sub-districts in West Sumatra, Central Java, East Nusa Tenggara Creative Communities recognizes that social and economic development is intimately tied in with culture, and that mobilizing the social and economic values of culture in its diverse and varied forms can help empower and benefit the poor and marginalized people in Indonesia. The pilot funds community cultural activities related to social development. Creative Communities is a collaboration between PNPM-Rural, the World Bank, and Indonesia s premier arts management organization, the Kelola Foundation, with support from the Japan Social Development Fund. The PNPM Support Facility (PSF) Funding: US$61.9 million total Donor Contributions: The Netherlands (US$35 million), Denmark (US$14 million), UK (US$5.7 million), Australia (US$4.6 million). Forthcoming in 2009: European Union (US$5 million) and Japan (US$3 million). 9

12 The PSF is a multi-donor trust fund mechanism established by GOI and donors in December 2007 to provide support to PNPM and its pilot programs through new modalities and institutional arrangements. The PSF allows donors to provide high-quality, coordinated technical assistance, planning advice and dialogue, as well as targeted financial assistance to the government to support PNPM. The PSF is administered by the World Bank under the guidance of the PNPM Joint Management Committee, which is chaired by the National Planning Board s Deputy for Poverty, Labor and SME Affairs. B. SPADA OPERATIONS SPADA National Funding: US$104 million (IBRD/IDA) Scope: Lampung, Bengkulu, NTT, Central Kalimantan, West Kalimantan, Central Sulawesi, Maluku, North Maluku Duration: December 2005 December 2011 SPADA Aceh-Nias Funding: US$37 million (MDF and DFID Grants) Scope: Aceh and Nias Duration: May 2007 June 2010 Operating under the national PNPM umbrella, the Support for Poor and Disadvantaged Areas (SPADA) Program is designed to assist some of the country s poorest communities. The program is comprised of two separately funded projects: 1. SPADA National, a loan-funded program that supports 32 districts in eight provinces; and 2. SPADA Aceh-Nias a trust-funded program designed to assist 19 districts in Aceh and North Sumatra recovering from the earthquakes and tsunami. Initially, Aceh was to be part of SPADA National but after 2004 earthquake/tsunami, it became the center of the MDF-funded reconstruction and development program for Aceh and Nias. The overall objective of SPADA is to provide a mechanism for participatory planning procedures to be incorporated into district government decision-making. Under SPADA, village councils, inter-village fora, and district planning boards are enriched with various mechanisms intended to provide additional participation, greater transparency, and practical technical support for planning and implementation. To date, the bulk of SPADA National block grants have been used to fund local infrastructure projects, accounting for 55 percent in the 2007 funding cycle and 67 percent for 2008 monies. Health (20 percent for 2007; 18 percent for 2008) and education (25 percent for 2007; 15 percent for 2008) sub-projects exceeded the project combined minimum of 30 percent for each funding cycle. For SPADA Aceh-Nias, sub-project activities for the 2007 cycle have been fairly evenly divided across infrastructure (32 percent), health (36 percent) and education (32 percent). The 2008 funding cycle saw a shift toward more infrastructure (47 percent) and less health (22 percent) sub-projects. Education projects remained steady. In March 2009, due to a slow start-up and delayed implementation, both SPADA National and SPADA Aceh Nias will undergo a Mid-Term Review (MTR). The main objectives of SPADA MTR are to assess the validity of the projects original development objectives and core design. 10

13 Social Development Indonesia Analytical Work under Social Development The overall purpose of the social group s AAA agenda is to increase knowledge of how to design and manage local community-led poverty programs and to understand better the social dynamics within communities at the local level. Indonesia s transition from the highly centralized administrative systems of the New Order government to an open, democratic, decentralized country has been a rapid but in many ways difficult one. The legacy of a highly centralized, top-down national system has not been easy for a changing society where responsive and accountable institutions are beginning to matter as much as aggregate macro-economic growth. However, the mechanisms to build more accountable, demand-responsive institutions still need to be better understood and analyzed. In this context, the Social Development Unit s analytical work centers around: (i) understanding more deeply Indonesia s social dynamics; (ii) evaluating what works and what doesn t in relation to accountable, community poverty reduction mechanisms, and (iii) launching innovative research to move the knowledge frontier on social development forward. Analytical programs also test and assess new, innovative approaches in order to see the viability of scale-up through the larger operational programs. 11

14 12

15 Social Development Indonesia Evaluation Work The Social Development Unit has emphasized program evaluations as part of its overall AAA portfolio. The Unit s operational portfolio provides fertile ground for evaluation work on poverty reduction and community development, as well as for experimenting with various intervention strategies. Both PNPM- Rural and SPADA retain one to three percent of total loan amounts for monitoring and evaluation work. This is complemented by Trust-funded activities for special studies and evaluations. Currently, there are eleven major evaluation activities ongoing in the Unit, including nine impact evaluations and studies related to PNPM-Rural and SPADA. Findings from past evaluations have helped to inform KDP/PNPM Rural design and adjust operations as needed. Other thematic studies on infrastructure technical quality, district government matching contributions, gender participation, and micro-credit, for example, have influenced the Government s annual redesigns of technical assistance and program activities. Almost all the evaluations combine quantitative survey with qualitative research techniques. There are also several activities aimed at increasing the evaluation capacity of the Government and Indonesian research organizations. Current evaluation work includes: (i) PNPM-Rural Impact Evaluation. This work evaluates PNPM- Rural as well as the design for the four other community programs under the PNPM umbrella, including the WB-supported urban component (PNPM-Urban) and SPADA. 13

16 (ii) Conditional Cash Transfer Impact Evaluation. This three-wave randomized experiment is designed to test traditional household and community conditional cash transfer strategies for education and health improvements across six provinces. (iii) Village Resources and Rural Infrastructure Study (VRRI). This study aims to understand the ability and willingness of villagers in poor communities to provide the resources to maintain the infrastructure in their villages. This three-round study, across 32 villages in five provinces, consists of village surveys and estimates of infrastructure maintenance costs. (iii) Green KDP Evaluations and Thematic Studies. This is a portfolio of five different evaluations to measure the impact of the US$50 million Green KDP pilot project on socio-economic conditions and communities environmental knowledge and behaviors. (iv) Papua RESPEK Evaluations and Thematic Studies. Five evaluations and studies are planned for Papua including quantitative and qualitative impact assessments; capacity evaluations of district and village implementation teams; infrastructure quality review; and vulnerability and marginalized groups study. (v) Mediation and Community Legal Empowerment Evaluation (MCLE). MCLE is a component of the SPADA project implemented in Aceh and Maluku being implemented by PREM and Legal Department HQ. This evaluation will be the first of its type in the world to measure access to justice and mediation impacts. (vi) PNPM Governance Study. This qualitative study will document and understand better the perspectives of national and particularly sub-national leaders involved in the implementation of PNPM, and the challenges and opportunities for local governance. The study will take a sample of respondents from seven provinces across Indonesia. (vii) PNPM Facilitation Study. Several studies have shown that one of the critical factors to ensure successful implementation of community development programs is the availability of qualified and committed facilitators. However, facilitators roles and the various local government variants of this form of technical assistance are not well researched. The objectives of this study are to understand the value added of employing facilitators in community development programs, such as PNPM, and to research potential phase-out strategies that enable the sustainability of community development initiatives with minimum external support. (viii) Marginalized and Vulnerable Groups Study. While the majority of a village benefits from KDP/PNPM Rural funded projects, recent studies have shown that some marginalized segments may be left out of the decision-making and development process. The objective of this qualitative study across six provinces is to understand better the participation dynamics in PNPM Rural, especially groups who do not yet participate in the program. Evaluation Capacity Building Activities (i) (ii) Technical Assistance to the Ministry of Planning (Bappenas) Department for Performance Evaluation (DPE). Since June 2008, the Social Development Unit has provided technical assistance to the newly formed DPE in the Ministry of Planning. This Department leads the Government s evaluation work. The first phase of the assistance produced a needs assessment and organizational analysis for the DPE as well as training on evaluation methods. The second phase assistance package will begin in March Building Social Science Research Capacity. Indonesia suffers from low research capacities in its institutions, especially in the areas of program evaluation and poverty-related research. This longterm effort attempts to build research capacity in four to five Indonesia research organizations over the next four years. Needs assessments have already been conducted in , and the next phase will be to build systematically the research and evaluation capacity of several Indonesian entities. Objectives and details of the above are described in Annex 2. 14

17 Social Development Indonesia Confl ict and Development Program Background The Conflict and Development (C&D) program was established in The program grew out of KDP s quest to understand the forces that lead to community disintegration and violent conflict, and to develop strategies communities can use to successfully handle future occurrences. The C&D program continues to support peace-building and conflictsensitive development. The fall of the New Order in 1998 was accompanied by an upsurge in violent conflict across Indonesia resulting in at least 19,000 deaths. Reforms to democratize and decentralize the Indonesian state led to new struggles over power, identity, and resources. Old tensions, previously suppressed by force, emerged. In the absence of effective mechanisms and institutional structures to manage conflicts, large-scale inter-ethnic and inter-religious fighting erupted in West and Central Kalimantan, Central Sulawesi, Maluku and North Maluku provinces. Meanwhile, center-periphery conflicts continued in Aceh, Papua and East Timor, and local conflicts over land, resources, and political power continue to take place across Indonesia. Ten years into Indonesia s transition, it is necessary to take stock of the violence that has occurred, to evaluate the risk of the future escalation, and to assess what works in limiting violence. The human security costs have been significant: thousands of lives lost, property destroyed, and widespread fear and insecurity amongst those affected. The violence has also resulted in economic retraction, affected service delivery and, in some parts of the country, launched a downward poverty spiral. In conflict-affected areas, traditional development approaches can prove ineffectual and harmful. While aggregate levels of 15

18 violent conflict appear to have declined in recent years, violence is still prevalent and there may be potential for re-escalation. The C&D program works within this context to provide evidence and analysis, ideas and funding to support peaceful development in Indonesia. Three tenets drive the program s work: Understanding local conflict dynamics can aid in the design of effective programs that are sensitive to local contexts; Evaluating interventions aimed at promoting stability and helping vulnerable individuals and communities in post-conflict areas can generate lessons with application to Indonesia and beyond; and Interventions are only likely to contribute to sustainable post-conflict transition if they are owned by local governments, civil society and communities in conflict-affected areas. Program Objectives And Approaches The program s primary objective is to support peace-building efforts while establishing and testing models for violence-free development in Indonesia. This is achieved through: Analytical work to better understand conflict in Indonesia, how it is evolving, and its impact on development; Research and technical assistance to support national and local governments to use their own resources to address conflict more effectively; Piloting and testing conflict prevention and management approaches to assess their effectiveness and suitability for scale-up (through Bank and other projects); and Building civil society capacity to understand and address conflict. A secondary objective is to use the case of Indonesia to provide useful models for other conflict-affected regions. Much conflict work focuses on weak or failed states, where governments do not function below the national level and where markets are non-existent or seriously distorted. Yet many developing countries experiencing conflict have reasonably strong institutions, growing economies and resources to support peaceful development. The program aims to generate lessons from the Indonesia experience and provide support to Bank teams elsewhere. Funding Total Funding: US$10.2 million DFID support to post conflict Aceh - $8.4m, Post-Conflict Fund grant - $1.15 million, Dutch support - $600,000, Previous funding of approximately $4 million has come from DSF, DFID, AusAID and Dutch TFs. Future funding is expected from AusAID and the Dutch. 16

19 Elements Of The Program A. Supporting Peace in Aceh The signing of a peace agreement (the Helsinki MoU) in Aceh between the government and GAM (mid- 2005) led to the development of a large program of support including reintegration assistance for conflict victims and vulnerable groups, conflict monitoring and analysis, TA to local government, and a series of pilot projects. 1. Research and Policy The program is the primary provider of data and analysis on the Aceh peace process and post-conflict dynamics in Aceh. Research and monitoring feeds into the development of local government and donor policies and programs. i. ii. iii. iv. Conflict monitoring The Aceh Conflict Monitoring Updates track conflict and violence reported in the local press. To date, 33 updates (of four-six pages) have been produced and are sent to over 1,000 subscribers and are used by policy-makers, donors and NGOs, embassies, and the press. Conflict and post-conflict needs assessments A pre-mou conflict assessment identified areas for Bank and donor support. This became the basis for a request from the National Planning Agency (Bappenas) for international assistance to the peace process. The GAM Reintegration Needs Assessment looks at needs for former combatants and developed a framework for assistance which was subsequently used by the local reintegration agency. The team is leading the Multi-Stakeholder Review of Post-Conflict Programming which involves seven donors and national and local government. The Review will take stock of needs three-and-a-half years on from the MoU, and will provide recommendations on future programming. Damage and loss and aid effectiveness Work has focused on the effectiveness of post-conflict aid. This has resulted in two book chapters, a monograph on international involvement in the peace process, and two reports on the conflict-sensitivity of tsunami assistance. A number of studies assessing damages and losses in Aceh have been conducted. These include: the KDP assessment of infrastructure and social conditions, which collected data on every village in Aceh; an Aceh flood assessment; and a detailed conflict damage and loss assessment. Political economy Work on the political economy of Aceh has included a paper on improving local governance and innovative work assessing the costs of extortion paid by truckers on Aceh s roads. The team also contributed to the Aceh Public Expenditure Analysis. Research on the 2006 local elections resulted in one paper and three briefing notes. An ongoing study is assessing the 2009 parliamentary elections and their impact on conflict and peace. 17

20 Future research includes continuing the conflict and reintegration monitoring work; evaluations of peace process programs; a growth diagnostic identifying the binding constraints to investment; research on traditional economic practices; combatant recruitment; a study on livelihood options for former combatants; and comparative work assessing community development in Aceh and Afghanistan. The C&D program is funding the establishment of a peace research center at the local university, and will provide significant capacity building, to allow for a continuation of analytical work after the World Bank program ends. 2. Operations The program finances operations that aim to address needs identified through the analytical work. The Community-Based Assistance to Conflict Victims program channeled $25 million of government funds to victims through the Kecamatan Development Program (KDP). The program covered 1,724 villages (one-third of Aceh) with 233,115 direct beneficiaries. Targeted programs work with NGOs to support vulnerable groups. These include: mental health and livelihoods support to traumatized victims; training former combatants in photography and creative writing; a women s empowerment program; and work with youth. A public information program shares information on the peace process. The establishment of a government-gam socialization team supported information sharing and dialogue early in the peace process. The program funded the distribution of more than 200,000 peace posters and 300,000 copies of the peace agreement. Grants were provided for community theatre and radio dramas. Funds are supporting dialogue between parties and communities around the upcoming elections. Conflict resolution training is being provided to 400 local leaders and 400 PNPM facilitators. The team are currently planning a number of new projects. An innovative program will train 1,000 at risk youth (including former combatants) and to link them to jobs in other countries. Technical assistance to the Governor to manage his budget is planned. B. Promoting Peaceful Development across Indonesia The national C&D program has evolved in response to the changing nature of conflict in Indonesia. Initial work focused on assessing the impacts and spread of violence and on evaluating the impacts of communitydriven development (CDD) programs on conflict. From 2008, the Aceh work has been expanded to other parts of Indonesia, and includes the development of a national conflict monitoring system, support to the national government s policy framework on conflict, and rigorous evaluations of peace-building programs. 1. Research Over the past six years, the program has published 34 reports and working papers, over 40 briefing notes, a monograph, a forthcoming Yale University Press book, and a number of journal articles and book chapters. The team publishes the Indonesian Social Development Papers series. i. Tracking conflict and its impacts A first phase of research work ( ) assessed the spread and impacts of conflict in Indonesia and developed methodologies for measuring violence. This resulted in a national conflict analysis and the piloting of a conflict monitoring system in four provinces. The conflict monitoring system is now being scaled-up to cover twenty-two provinces (with 90 18

21 percent of Indonesia s population). Data will be collected from 1998 to create a clear picture on patterns of violent conflict have evolved over the past decade. The resulting dataset will provide the clearest picture to date of conflict forms, incidence and impacts in Indonesia. In partnership with Bappenas, the system will be adapted to allow the government to monitor conflict on an ongoing basis. Capacity building for local governments and NGOs will allow for decentralized analysis. The data will be used as part of the Violent Conflict in Indonesia study (ViCIS) which examines violence incidence and impacts, and factors that help dictate different outcomes (violence or peace), across a range of conflict contexts in Indonesia. ii. iii. iv. Conflict, governance and political change Unchecked competition between elites can lead to conflict. But elites can also use their influence to prevent violence. Research has been done on elite political competition, the political economy of local resource distribution, and policing and local level conflict management. The program will continue to support studies aimed at understanding how political, religious and ethnic elites can trigger conflict, and how their influence can be utilized to prevent and resolve conflict. Assessing the impacts of CDD programs A major study looked at the impacts of the Bank/Government s flagship KDP on local conflict. Future work will assess the impacts of the PNPM program which expands KDP to all villages in Indonesia. Project evaluation The empirical basis for assessing the efficacy of many conflict-related interventions is weak, in Indonesia and elsewhere. A new grant from the Post-Conflict Fund allows for evaluations of a range of approaches aimed at managing conflict and supporting conflict-sensitive development. Evaluations will include: (a) reintegration programs in Poso (and a comparative study with Aceh); (b) conflict resolution training programs for project facilitators and village leaders; (c) psychosocial and livelihoods programs for traumatized victims; (d) the community-based assistance to conflict victims program in Aceh; and (e) using public information for peace-building. 2. Policy and Operations Policy and operational work is focused on two areas: i. Strengthening government policies on conflict The C&D program is providing advisory support to Bappenas on the conflict aspects of the Government s Mid-Term Development Strategy (RPJMN) and the National Conflict Management Law. A Board of Provincial Governors from Post-Conflict Areas is being established and will provide a forum for sharing experiences and lessons learned, and identifying current and future priorities. The program will work with the provincial government in Papua in assessing how local resources can be used to prevent violent conflict. ii. Making government anti-poverty programs conflict sensitive The C&D program supports the implementation of the $140 million Support for Poor and Disadvantaged Areas (SPADA Aceh-Nias) project. The program is developing manuals for conflict-sensitive development, to be used by regional and local governments. Pilots will be mainstreamed through the PNPM and SPADA programs. 19

22 20

23 Social Development Indonesia Justice for the Poor Enhancing Community Access to Justice Background Justice for the Poor was established in The program grew out of a study on how communities were dealing with corruption complaints arising during the early phases of KDP implementation. The study subsequently expanded to look at dispute resolution mechanisms at the local level. The program s first major publication, Village Access to Justice, revealed a range of disputes at the community level and the challenges facing ordinary Indonesians who sought to resolve them. People s legal rights remain theoretical if the institutions charged with enforcing them are inaccessible. The Justice for the Poor program focuses on judicial reform at the subnational level by increasing community demand for better justice services through formal and informal institutions. Establishing a fair and wellfunctioning justice sector is key to fighting poverty, reducing local conflict, and enabling growth. The key to poor communities accessing and achieving a successful outcome through the formal system lies in sociopolitical factors the existence of community facilitation, grassroots mobilization, external scrutiny of the legal system plus the creation of links between justice-seekers and civil society organizations. These factors provide communities with the practical knowledge and tools they require to demand more equitable justice systems. 21

24 It is estimated that over 90 percent of disputes are handled at the local level, outside state institutions. Despite this, most legal and judicial reform programs continue to focus purely on the formal system. The Justice for the Poor program adopts a comprehensive strategy for improving poor people s access to justice that encompasses both formal and informal dispute resolution. The program: Focuses on the viewpoint of the user of the justice system, particularly the poor and marginalized; Is built on detailed understanding of social and cultural realities at the local level; Recognizes the importance of demand in the development of equitable justice systems and the process of institutional reform; and Sees justice as a cross-sectoral concern. Funding Funding for Justice for the Poor s programs comes from three main sources: Building Public Demand for Legal and Judicial Reform Dutch ( ), $2.5m; East Asia & Pacific Justice for the Poor Initiative AusAID ( ), $2m for Indonesia; SPADA Strengthening Access to Justice in Aceh DFID ( ), $2.3m. Program Objectives The overall goal of Justice for the Poor is to enhance access to justice for poor and marginalized communities. The short-term goal of the program is enhanced access to justice through legal education, legal aid and increased access to formal and informal dispute resolution. The long-term goal is to build public demand for systemic and sustainable reform of the justice sector. To achieve these objectives the program works with local and national partners (government, formal justice sector institutions and civil society) to build their capacity across three interconnected themes: 1) Policy and Research, 2) Operations, and 3) Partnerships. Elements of the Program 1. Policy and Research Research conducted to date includes: The Village Justice in Indonesia paper tracks the dispute resolution preferences and practices of poor communities and documents their experiences engaging with the formal legal system; Forging the Middle Ground: Engaging Non-State Justice (in partnership with the Supreme Court), identifies village-level dispute resolution mechanisms and evaluates their effectiveness from the viewpoint of the poor and marginalized, especially women, ethnic minorities and youth. The Local Government Corruption Study maps key factors required to successfully resolve corruption cases involving local government institutions at the district and provincial level. Diagnostic Study of Local Regulatory Drafting (in partnership with YIPD) identifies best-practices in regulatory drafting at the district level, focusing on improving access, quality and harmonization of local regulations (forthcoming); 22

25 The Women s Access to Justice case-studies details the experiences of women in accessing formal and non-state justice systems (forthcoming). Three major priorities have been identified for Justice for the Poor s on-going and future policy and research development stream: (i) Supporting the Government of Indonesia to develop a National Access to Justice Strategy: to date substantial technical inputs have been provided to the Working Group drafting the Strategy. Additional support will be provided to assist in implementation of the Strategy. (ii) Documenting needs of legal institutions at the district level and successful reform strategies employed in resolving legal disputes. This will include collaboration with the Supreme Court, local CSO and university partners and the IMF to develop a model Legal Survey and Needs Assessment for justice sector institutions. On-going work will also be conducted on strategies utilized by reformers in the areas of anti-corruption and local regulatory drafting. This work will support the implementation of PNPM. (iii) Measuring impacts from J4P s operational pilots and projects. The centerpiece will be a comprehensive Impact Evaluation of the Mediation and Community Legal Empowerment (MCLE) of SPADA to be conducted in collaboration with PRMPR. 2. Operations Justice for the Poor works with local CSO s to promote a model of community legal awareness and legal aid delivery which supports the development of networks of paralegals at village and sub-district level to provide a first port of call for villages seeking legal assistance. The paralegals are linked to legal aid lawyers and civil society networks at district level and above, ultimately feeding into district, provincial and national-level policy makers. Justice for the Poor has four ongoing or planned pilot programs: Revitalization of Legal Aid works with partners at the provincial level to strengthen existing community legal aid posts and support dispute resolution processes in three provinces. It focuses on legal issues of farmers and laborers. Women s Legal Empowerment works with PEKKA nationally and 4 CSO s in Aceh to support increased awareness of rights and access to legal forums for women s groups in 8 provinces. Multi-stakeholder forums comprised of local justice sector institutions support the women s groups in each of the provinces. The Perda Program works with five local governments to strengthen access to and quality of local service delivery regulations and ensure consistency with national regulations. Lessons learned are fed up to a national government working group on local regulations. Village Judicial Autonomy will strengthen the quality of village-level dispute resolution mechanisms in three provinces and ensure greater harmonization and consistency with local regulatory processes. Operations over the next few years will be focused on two issues: consolidation and scale up. Consolidation: in areas where several of the pilots operate in the same districts efforts will be made to strengthen coordination between the pilots and, working with the district government, to develop a comprehensive approach to access to justice across the pilots. Scale up: using the lessons learned, tools and training materials developed under the pilot programs, 23

26 Justice for the Poor will support the implementation of the MCLE component of SPADA in across two post-conflict provinces, Aceh and Maluku. 3. Partnerships The third element consists of building partnerships and supporting coalitions among different actors interested in local legal reform. Three key activities under this component are: Supporting the development of a National Paralegal Network, comprising of all the main NGO s involved in delivering paralegal programs to strengthen their capacity to advocate for policy reform and improve the quality of paralegal services; Working with local partners (government and CSO) to support improved information flows between local level initiatives and national policy processes; Consolidate the work of donors in support of the Government s Access to Justice initiative. Achievements to Date 1. Policy & Research Supports GOI s development of a National Access to Justice Strategy to be included in RPJM; Support GOI s efforts to increase access, quality and harmonization of local government regulations through Local Regulations Program. Key publications: Village Justice in Indonesia; Mapping Reformers Study; Local Government Corruption Study; Forging the Middle Ground: Non-State Justice in Indonesia. 2. Operations Acceptance of legal empowerment in PNPM (through inclusion of MCLE component of SPADA) Community-based Access to Justice model developed and tested with 3 local legal aid partners 831 cases handled legal education meetings held in first phase of Revitalization of Legal Aid program; Working with PEKKA, Women s Legal Empowerment model developed and scaled up from 3 to 7 provinces. Budget allocated from district government budgets in 2 of initial 3 pilot districts. 3. Partnerships Supporting development of national paralegal network strengthen capacity of local CSO s and quality of training, service delivery & policy advocacy; Linking local with national lessons learned at local level fed into government policy reform (through National A2J Strategy) and donor harmonization. 24

27 Social Development Indonesia Gender Programs Background The Gender program grew out of the Kecamatan Development Project s desire to target more specifically marginalized groups. Early experience with KDP showed that women were constrained by social/cultural factors and often unwilling to actively participate in public forums, including the community proposal development discussions and decision-making processes so critical to the program s success. The Gender program s mandate is to mainstream gender awareness across World Bank programs in Indonesia. The Gender program operates in a difficult climate: the UNDP Human Development Report 2007/2008 ranks Indonesia 94 th out of 177 countries on its Gender-related Development Index (GDI). In addition, data shows significant differences between women and men in the following key indicators: Adult female literacy rate is 86.8 percent, compared to 94 percent for males; Estimated earned income for adult females is US$2,410, compared to US$5,280 for males; and Females combined gross enrollment ratio for primary, secondary and tertiary education is 67 percent compared to 70 percent for males. The Gender program s portfolio targets gender equality overall but also seeks to address the needs of even more marginalized groups of women, such as female-heads of household and female migrant workers. It also targets areas of critical need including gender equality in traditional Papuan society and legal empowerment for women. 25

28 Funding The current active portfolio for gender-related activities in Indonesia is US$11,300,000. Funding comes largely through Trust Funds supported by JSDF, DFID, and the Royal Netherlands Embassy. Activities A. Mainstreaming Gender into PNPM-Rural A recent multi-donor review of gender equity and women s empowerment in development programs identified KDP as a top performer. KDP s gender action-plan draws on the national government s framework for gender equality and women s empowerment. Lessons learned from KDP s implementation are applied to PNPM-Rural. The gender empowerment strategy of PNPM-Rural includes: Economic empowerment (revolving funds and microfinance programs) Political empowerment (separate meetings for women to ensure their voices are heard during the development planning process) Social empowerment (one of the two village development proposals must come from the women s planning group) B. Female Headed Households Program (PEKKA) Funding: US$6.3 million Duration: Scope: Eight provinces: Nanggroe Aceh Darussalam, West Java, Central Java, West Nusa Tenggara, East Nusa Tenggara, Central Maluku, Southeast Sulawesi, and West Kalimantan. Female-headed households comprise 13.4 percent of all households in Indonesia. PEKKA seeks to reduce poverty and vulnerability among these marginalized and vulnerable households in the poorest parts of Indonesia. PEKKA works on five dimensions: economic welfare; access to (financial) resources; social and political participation; critical awareness; and control over their lives. In practice, this translates into two empowerment components: technical assistance (including facilitation to organize themselves, access training, etc.) and financial assistance (through the community grants). PEKKA s activities have spawned 400 community self-help groups with almost 10,000 members in 350 villages. C. Women s Legal Empowerment (WLE) Funding: US$1.7 million Duration: Scope: Special Administrative District of Jakarta and seven Provinces: West Java, Central Java, West Nusa Tenggara, Nanggroe Aceh Darussalam, East Nusa Tenggara, West Kalimantan, North Maluku 26

29 Lack of access to the legal system frequently places a disproportionate economic burden and traps poor women and their families in a multi-generational cycle of poverty. A 2004 assessment undertaken by Justice for the Poor and PEKKA in 3 regions found significant cultural and social barriers for poor women, particularly those living in rural areas, to accessing social and legal justice. The Women s Legal Empowerment program enhances access to social and legal justice in the village level through formal or informal mechanisms. The program works on supply and demand constraints: awareness programs increase demand from women s groups, while advocacy programs work to strengthen understanding of women s legal issues in legal institutions and adat mechanisms through a Multi Stakeholder Forum (MSF). D. Gender Work in Papua Funding: US$1.825 million Duration: Beginning Scope: Papua and West Papua Provinces The Papuan Women s Empowerment program (PAWE) is a capacity building program for individuals and women organizations. PAWE will strive to help women s participation in development programs, including the Government of Papua s community driven development program, RESPEK. The Papua context presents many challenges including rapid social change and a high level of absolute poverty. Policy must be implemented among numerous linguistically and culturally distinct tribes living in an area the size of California. In addition, in many traditional villages women have little say in community decision-making. The richness of Papuan tribes and characteristics as well as many other development impacts has caused challenges to use gender considerations and approaches. E. Female Migrant Workers Program (FMW) Funding: US$1.7 million Duration: Scope: Four provinces: East Java, West Java, West Nusa Tenggara, East Nusa Tenggara Women make up 75 percent of the 696,746 migrants who left Indonesia in There are currently 4.3 million Indonesians working abroad. Of these, 90 percent work in the informal sector. Remittances from Indonesians working abroad total over US$6 billion, equal to one third of the Foreign Direct Investment (FDI) in the same year. Inadequate safeguards for migrants leave them vulnerable to exploitation at every stage of their migration. GoI is well aware of these challenges and the need to make reforms to the current mechanisms. The World Bank s FMW program began in 2001 to help GoI develop policy, institutions, and activities to improve migrants safety, decrease exploitation, and thus increase their economic impact. The program has conducted 5 studies, implemented 2 IDF grants, and held 6 seminars-workshops at the national and regional levels. In addition to ongoing activities, the program is working to integrate the migrant workers issues across sectors in the World Bank. 27

30 F. Impact of CDD Projects on Women s Empowerment Funding: US$344,000 Duration: August 2009 Scope: Nation-wide Objectives of this pilot are to identify/create measurable indicators that can describe the long-term impacts of CDD projects on women s political, economic, and social empowerment. The initiative will also create a toolkit for CDD task teams and clients to assist them in monitoring CDD performance vis-à-vis women s empowerment. This will include assessing the degree to which these projects have: 1. Improved women s access to the labor, financial, and production markets; 2. Contributed to increasing women s political empowerment beyond the projects themselves; 3. Succeeded in impacting perceptions of women s roles and abilities, thus creating a more enabling environment for women; and 4. Improved social opportunities for participation. GENDER-RELATED PUBLICATIONS IN THE LAST THREE YEARS Gender in Community Driven Development Project: Implications for the PNPM Strategy, a working paper based on findings from a joint GoI/donor mission. Proceedings of the Seminar and Workshop on Social Protection for Female Migrant Workers, produced by FMW program. The Malaysia Indonesia Remittance Corridor: Making Formal Transfer the Best Option for Women and Undocumented Migrants, produced by FMW under East Asia Social Development Unit (EASSO), in collaboration with Financial Markets Integrity Unit (FPDFI). Tracks of the Justice Seeker (Jejak Penyintas), produced by FMW. The Female Migrant Worker s Dream House (Rumah Dambaan Buruh Migran Perempuan), produced by FMW. The Complexity of the Placement Mechanism for Female Migrant Workers, produced by FMW. Domestic Violence Comic and Handbook, produced by Justice for the Poor Women s Rights Theatre Scripts, produced by Justice for the Poor Women s Legal Empowerment Newsletter, two editions, produced by Justice for the Poor Review of Phase 1 of WLE Program, by Justice for the Poor (2009). Women s Access to Justice Case Study, by Justice for the Poor (2009). 28