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President Jokowi’s Leadership Successfully Reduces Extreme Poverty

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By: Herman Wijaya)*

Indonesia under the leadership of President Joko Widodo (Jokowi) for two terms has brought many changes in various aspects of life in Indonesia. One of the most prominent achievements is the effort to reduce extreme poverty. President Jokowi understands that extreme poverty is not just an economic problem, but is also related to education, health, and infrastructure. Therefore, his government has implemented a holistic approach involving various sectors to address this problem comprehensively.
One of President Jokowi’s successes in reducing extreme poverty is an integrated approach involving various sectors. The government does not only rely on one single program, but develops various initiatives that support each other. Programs such as the Family Hope Program (PKH), direct cash assistance, and strengthening access to education and health are the main pillars.
PKH not only provides financial support, but also encourages families to meet education and health requirements. This helps children from poor families to get a decent education and access to health services, which is an important step in breaking the chain of poverty.
Since the beginning of President Jokowi’s leadership, the extreme poverty rate in Indonesia has shown a significant decline. Data from the Central Statistics Agency (BPS) shows that the poverty rate has decreased from 11.25% in 2014 to around 6.42% in 2023. Although the impact of the COVID-19 pandemic has caused an increase in the poverty rate, the government has taken quick steps to help affected communities, such as through social assistance and economic recovery.
The Indonesian Minister of Finance (Menkeu), Sri Mulyani Indrawati, said that President Jokowi’s leadership in the economic sector has succeeded in bringing about significant changes in handling extreme poverty in Indonesia. Amidst global economic challenges, Indonesia has succeeded in maintaining economic stability and reducing the extreme poverty rate to nearly zero in 2024. This stable economic growth cannot be separated from the infrastructure development policy that continues to be intensified by President Jokowi and a comprehensive social protection program. This achievement cannot be separated from President Jokowi’s economic policy which focuses on equitable development and social protection.
In addition, President Jokowi is also very focused on infrastructure development as a driver of economic growth. Massive investment in the construction of roads, bridges, and other transportation access aims to connect remote areas with economic centers. This is important because many areas are rich in natural resources but isolated from markets, thus hampering local economic development. Therefore, infrastructure is very important to improve access and mobilization so that it has a positive impact on the economic sector.
With increased accessibility, it is hoped that small and medium enterprises (SMEs) can more easily reach markets and obtain raw materials. The People’s Business Credit (KUR) program was also launched to provide easier access to financing for SMEs, which are the backbone of the Indonesian economy. Through these steps, many people who were previously trapped in poverty now have the opportunity to achieve a better life.
The same thing was also said by the Deputy for Macroeconomic and Financial Coordination of the Coordinating Ministry for Economic Affairs, Ferry Irawan, who said that under President Jokowi’s leadership, Indonesia has succeeded in recording a number of important achievements in reducing poverty rates to around nine percent in the last decade. In addition, extreme poverty has fallen to 0.83 percent through various economic policies that have been implemented. The policy strategy implemented by the government is key to maintaining economic stability while significantly reducing poverty rates.
Then in the education and health sectors, it is an important aspect in reducing extreme poverty. President Jokowi’s government has launched various programs to ensure better access to education for children from poor families. Scholarship programs, free school fees, and the provision of educational facilities in remote areas have helped increase school participation rates.
In the health sector, the National Health Insurance (JKN) program has been expanded to cover more people. With better access to health services, people no longer worry about expensive medical costs, so they can live healthier and more productive lives.
President Jokowi’s leadership shows that eradicating extreme poverty is not impossible. With an integrated approach and strong commitment, the various programs that have been launched provide new hope for the Indonesian people. Although there are still challenges to be faced, the steps taken so far show a positive direction towards a more prosperous society.
By continuing to involve all elements of society, including the private sector and non-governmental organizations, it is hoped that efforts to reduce extreme poverty can be more effective and sustainable. Going forward, Indonesia needs to maintain this momentum and continue to innovate in overcoming poverty problems, so that all citizens can enjoy the results of development and achieve a better future.

)* The author is a contributor to JurnalRedaksi.com

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