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Indonesia; Implementing National Policies in a Decentralized Context: Special Purpose Programs to Protect the Poor


  • Ehtisham Ahmad
  • Luc E. Leruth


In the context of continuing adjustments in the economy, the Government of Indonesia proposes to bring energy prices closer to long run marginal cost, while adequately compensating the poor. We focus on the constraints on central government policy objectives towards the poor as decentralization takes effect. However, local governments currently lack credible social protection instruments and their objectives usually do not match those of the center, which imposes constraints on program designs. We discuss the suitability of a number of safety net mechanisms in a decentralized context and draw policy implications.

Suggested Citation

  • Ehtisham Ahmad & Luc E. Leruth, 2000. "Indonesia; Implementing National Policies in a Decentralized Context: Special Purpose Programs to Protect the Poor," IMF Working Papers 00/102, International Monetary Fund.
  • Handle: RePEc:imf:imfwpa:00/102

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    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Chandra Prakash Bhambhri & Parkash Chander, 2001. "Subsidy Reforms and Poverty Alleviation," IMF Working Papers 01/126, International Monetary Fund.
    2. World Bank, 2010. "Egypt, Arab Republic of - Food Subsidies : Benefit Incidence and Leakages," World Bank Other Operational Studies 2913, The World Bank.
    3. Benedict J. Clements & Sanjeev Gupta & Hong-Sang Jung, 2003. "Real and Distributive Effects of Petroleum Price Liberalization; The Case of Indonesia," IMF Working Papers 03/204, International Monetary Fund.
    4. Margaret Grosh & Carlo del Ninno & Emil Tesliuc & Azedine Ouerghi, 2008. "For Protection and Promotion : The Design and Implementation of Effective Safety Nets," World Bank Publications, The World Bank, number 6582, June.


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