Indonesia plans to monitor the impact of the economic crisis

31 Mar 2009

Jakarta - Determining the means of tracking and monitoring the impact of the global economic crisis on Indonesia is the focus of a two-day technical meeting that opened in Jakarta today. Mitigating the effects of the crisis on poor people and vulnerable groups requires well-targeted safety net programmes and policies, which in turn, are dependant upon reliable, real-time data. This workshop will take stock of the resources available and examine what is needed to establish such a crisis monitoring system.

The financial crisis threatens to undermine the Government of Indonesia's ability to meet its poverty reduction and employment targets. A large segment of Indonesia's population is vulnerable to negative shocks, and is at risk of falling below, or further below the poverty line.

The practical aim of the workshop is to reach a level of consensus on crisis-sensitive and real-time indicators, and a range of appropriate methodologies that can be adapted by the Government to monitor the impacts of the crisis on poor and vulnerable groups.

"The large number of the population living just above the poverty line are highly vulnerable right now, with little to fall back on and a high dependence on Government support," said Mr. El-Mostafa Benlamlih, United Nations Resident Coordinator in Indonesia, in his opening remarks. "We at the UN are very concerned about the potential human development consequences if the crisis deepens," he added.

The crisis is already leading to massive layoffs in the manufacturing sector and a sharp drop in remittances from abroad. Public expenditures are being redirected from social investments to short-term economic stimulus packages. "The pressure on budgets is likely to impact spending on education, health, clean water and nutrition, investments that are so crucial for the attainment of the Millennium Development Goals (MDGs)," said Mr. Benlamlih.

The 80 government policy-makers, senior and technical representatives from international organizations and institutions have come to the workshop to discuss practical steps forward for the government in establishing a Crisis Monitoring and Response System.

"We welcome the opportunity to meet with technical experts to begin collaborating on this very crucial project," said Mr. Bambang Widiyanto, Deputy Minister for the Evaluation of Development Performance at Bappenas.

The technical workshop is hosted by Indonesia's National Development Planning Agency (Bappenas) together with the United Nations Development Programme (UNDP), United Nations Childrens’ Fund (UNICEF), the United Nations International Labour Organisation (ILO), The World Food Programme (WFP) and UN-HABITAT.

Contact Information

Felicity Hall Pascoe,
United Nations Development Programme
email: felicity.pascoe@undp.org
phone: +62-812 108 8487