Official BPS Data is Worthy of Being the Main Reference for Improving Welfare
By: Doni Suherman )*
In the world of public policy, accurate, objective, and reliable data is the primary foundation for formulating strategic measures that have a real impact on society. In Indonesia, this vital role is played by the Central Statistics Agency (BPS), which consistently presents socio-economic data through a rigorous and independent methodological approach. Amid the dynamics of post-pandemic recovery and global economic challenges, BPS data serves as a crucial compass for the government and other stakeholders in guiding policies to improve welfare.
As emphasized by Ateng Hartono, Deputy for Social Statistics at the Statistics Indonesia (BPS), BPS’s poverty measurement refers to the actual consumption of Indonesians. This assessment is not conducted haphazardly, but rather based on household expenditure data, reflecting the collective context of consumption in Indonesia. This approach demonstrates methodological sensitivity to the more complex socio-economic characteristics of society, which exceed mere income indicators. Furthermore, BPS routinely adjusts its methodology to remain relevant to changing social dynamics.
In the March 2025 edition of the National Socioeconomic Survey (Susenas), BPS involved approximately 345,000 households as respondents. This number comprehensively represents Indonesia’s geographic and demographic diversity. This field-collected data serves as the official basis for measuring poverty levels, inequality, and changes in community well-being over time. With a transparent and auditable methodology, BPS data provides strong legitimacy for evidence -based policymaking. The data collection process was conducted simultaneously and in a structured manner, involving thousands of field officers who received intensive training.
Not only the central government, but also regional governments use BPS data as a primary reference in designing policy interventions. The Assistant for Economics and Finance of the Regional Secretary of DKI Jakarta Province, Suharini Eliawati, stated that her office is seriously responding to the increase in poverty and inequality rates based on the latest BPS report. In a March 2025 release, the poverty rate in Jakarta was recorded at 4.28 percent, up from 4.14 percent in September 2024. This increase is still within moderate limits, but it is an important signal for the DKI Provincial Government to review the effectiveness of social protection programs and formal job creation.
According to Suharini, this situation indicates that economic recovery is not yet evenly distributed. Inequality is actually widening due to the increasing number of informal workers and inflationary pressures still felt among the lower classes. Therefore, BPS data plays a crucial role in mapping the most impacted groups in society in detail, allowing for more targeted and targeted policies. Detailed microdata can identify areas requiring more urgent intervention. Furthermore, data also helps measure the temporal effectiveness of programs, determining whether they have short-term or long-term impacts.
However, despite the challenges, the government’s positive achievements in reducing the national poverty rate are commendable. According to a Statistics Indonesia (BPS) report announced on July 25, 2025, the national poverty rate decreased from 8.57 percent (September 2024) to 8.47 percent in March 2025, or 23.85 million people. This decline is a concrete result of the government’s consistent efforts to expand social protection programs, improve access to basic services, and strengthen public purchasing power.
Appreciation also came from political parties. Wahida Baharudin Uppa, Deputy Chairperson of the Prosperous People’s Party (PRIMA), expressed her highest appreciation to the government and all elements of the nation for this achievement. According to her, the drastic reduction in extreme poverty (from 3.56 million to 2.38 million) represents a significant step forward in addressing the most severe forms of inequality. In rural areas, the poverty rate has also been reduced from 11.34 percent to 11.03 percent, demonstrating that interventions in marginalized areas are beginning to show tangible results.
Wahida emphasized that this success did not happen automatically, but rather resulted from cross-sector collaboration: central and regional governments, businesses, social institutions, and civil society. This collaboration serves as a concrete example of how inclusive development strategies must be designed and implemented based on data and continuous evaluation. She also urged strengthening reporting and monitoring mechanisms to ensure the sustainability of these achievements. In a political context, she believes that poverty alleviation efforts must be maintained across governments, not halted simply by a change in leadership.
In addition to serving as a benchmark for welfare, BPS data also plays a crucial role in measuring the effectiveness of programs such as direct cash assistance, food subsidies, health insurance, and job creation through national strategic projects. Statistical data is no longer passive but has become an active tool shaping the direction and priorities of national development. Every government-initiated program must have success indicators that reference official statistical data. Without clear indicators, program evaluation becomes unfocused and risks being wasted. With this approach, every rupiah spent by the state can be accounted for based on data.
In the context of fiscal and macroeconomic policy, data from BPS helps formulate the State Budget (APBN) to better support the poor and vulnerable. For example, extreme poverty data is used as a basis for determining priority locations for integrated poverty alleviation programs, such as strengthening basic infrastructure in underdeveloped villages or providing clean water and sanitation. With accurate data, the government can allocate funds efficiently and effectively. Furthermore, data-driven fiscal planning also minimizes the risk of ineffective spending.
This demonstrates that official data from the Statistics Indonesia (BPS) should be the sole primary reference for analyzing Indonesia’s socio-economic conditions. Amidst the abundance of information circulating, public trust in valid and methodologically sound data is crucial to avoid misperceptions and erroneous policies. It is time for the public, observers, the media, and all stakeholders to use BPS data as a starting point for assessing the nation’s economic direction. Only with a solid foundation can we build policies that are fair, inclusive, and oriented toward the welfare of all Indonesians.
)* Macroeconomic Analyst