IDT program to continue with revision<\/p>\n
JAKARTA (JP): The government-sponsored Presidential Aid for
\nLeast-Developed Villages (IDT) poverty alleviation program will
\ncontinue albeit with some revision, an official said yesterday.<\/p>\n
Mubyarto, assistant to State Minister of National Development
\nPlanning Ginandjar Kartasasmita, told a House of Representatives
\nhearing that, although the government would no longer send funds
\nto least-developed villages, the development of infrastructure in
\nthese villages would continue.<\/p>\n
Legislators had questioned Mubyarto about the future of the
\nthree-year-old program which ends this year.<\/p>\n
Launched in April 1994, the program involves 28,223 poor
\nvillages. Each village has received Rp 60 million (US$25,000)
\npaid in stages over three fiscal years.<\/p>\n
Mubyarto said the government would extend infrastructure
\ndevelopment aid to boost economic activity in the villages. He
\nsaid poor infrastructure was the reason that the IDT program had
\nfailed in some villages.<\/p>\n
\"Irian Jaya is one bad example of the IDT project. Despite its
\n(wealth) in economic resources, (the province) has geographical
\ndisadvantages. The province is short of roads and must rely on
\nair transportation,\" he said.<\/p>\n
Another senior official at the ministry, Herman Haeruman, said
\nthat only 37.4 percent of the villages had enjoyed infrastructure
\ndevelopment aid.<\/p>\n
He said infrastructure development programs were expected to
\nbe completed in 2002 or 2003 in the remaining villages.<\/p>\n
The government has provided Rp 480 billion, mostly from
\nforeign loans, this fiscal year for the infrastructure
\ndevelopment program.<\/p>\n
Mubyarto said the IDT program would be revised to focus on
\nraising the incomes of the 123,000 consultants, who are employed
\nto help villagers make efficient use of their funding.<\/p>\n
He suggested the government provide a Rp 460 billion subsidy
\nfor five years to help every village group run businesses under
\nthe consultants' guidance.<\/p>\n
\"After five years it is expected that every group will handle
\ntheir business properly and pay their consultants 12.5 percent of
\nturnover,\" Mubyarto said.<\/p>\n
He said the government would not evaluate the IDT program in
\ndetail because of the many villages involved.<\/p>\n
\"The program is successful in most of the villages,\" he said.<\/p>\n
He predicted that by the end of 2004, the number of
\nIndonesians living below the poverty line would drop to only
\nabout six million.<\/p>\n
President Soeharto said earlier this year, while delivering
\nthe state budget for the 1997\/1998 fiscal year, that the number
\nof poor had fallen to 22 million in 1996.<\/p>\n
The government has introduced another poverty alleviation
\nprogram, involving subsidized loans to poor families. The new
\nprogram is financed by the Dana Sejahtera Mandiri Foundation,
\nheaded by President Soeharto.<\/p>\n
The foundation raises its funds from donations from the
\ncountry's wealthy. fund raising is based on a presidential decree
\nordering firms and individuals with annual after-tax earnings of
\nmore than Rp 100 million (US$42,000) to donate 2 percent of their
\nincomes to the program. (amd)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/idt-program-to-continue-with-revision-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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