Mon, 16 Jun 1997

UNDP praises Indonesia

Indonesia has predictably scored much better in the 1997 United Nations Development Program's (UNDP) Human Development Index (HDI) than it did in 1996, rising from 102nd place last year to 99th of the 175 developed and developing countries surveyed this year. The country also performs well in the UNDP Human Poverty Index (HPI), the first time such a human poverty scale has been included in the UN Human Development Report that was issued in Jakarta last week, being ranked 23rd out of the 78 developing countries studied.

The expanded concept and measurement of human development, as assessed in the two indices, reflects the increasing importance of a holistic development paradigm. This has been prompted by the experiences of many countries which show that there is no automatic link between the level of income and human poverty and income poverty. Likewise, high per capita income does not necessarily raise the quality of life across the population. Or put another way, high economic growth does not automatically translate into higher human development levels.

The HDI is based more on the direct, quantifiable results of economic growth, measuring the quality of life by such standards as income, life expectancy, infant mortality and education. But the HPI broadens the concept, taking into account deprivation in the areas of lifespan, basic education and access to public and private resources (health services, safe water and food) which constitute a decent standard of living. The HPI thus sees poverty more in terms of choices and opportunities fundamental to human development.

A holistic approach is not a completely new concept in Indonesia's development paradigm. The final goal of the country's national development is based on the broadest perspective of human development: a just and prosperous, both materially and spiritually, society.

The government, known more for its impressive economic development record, has since the launching of the first Five Year Development Plan in April, 1969, applied that concept into development programs. Though it was recognized initially more as a basic-needs approach (covering food, clothing and housing), subsequent development has encompassed the other elements of what is inputted into the HDI and HPI.

No wonder that President Soeharto, in his annual National Day Address on the eve of Independence Day every Aug. 16, likes to cite not only the indicators of the country's impressive economic development but also the progress made in the other aspects of human development: life expectancy, school enrollment, literacy, health, rural electrification, women's participation in the labor force etc.

Obviously, poverty is the main cause of people's deprivation of most basic services and human needs, and poverty alleviation is therefore central in the efforts to develop human resources in their broadest perspective.

The government also realizes, as shown by the trinity of its development concept -- growth, equity and stability -- that economic growth contributes most to poverty reduction through the creation of jobs. But it is also highly aware that economic growth is not a panacea for poverty alleviation. Hence, we notice for example, how the development program has, from the outset, been supplemented by projects mandated by presidential instructions covering the building of schools, rural health centers, rural market places, rural roads and electrification. The President further accelerated the poverty alleviation program in 1993 by launching special projects for clearly identified target families.

The government does deserve plaudits for its remarkable achievements, as can be noted, among other things, by the reduction of the number of people living below the poverty line from 60 percent of the total population in 1970 to only 11 percent last year. Even though in Indonesia's case the 11 percent still means more than 22 million people in absolute poverty, this is no mean feat in a vast archipelago of more than 200 million people. So when the UNDP rewards President Soeharto for his distinguished services to attacking poverty on Sept. 8, it will only serve as another symbol of international recognition in addition to the commendations already made by other international development agencies such as the World Bank.