Inequality is not an unavoidable consequence of growth. Other countries have been able to grow while, at the same time, continue reducing poverty and inequality.
“The main strategy to alleviate poverty and reduce inequality is to assist the poor to help themselves by creating more jobs and better jobs. At the same time, we need to make sure that children across the country have equal access to quality services, in order to give them a fair start in life,” said World Bank Lead Economist for Poverty, Vivi Alatas.
Investing in public services and social safety net programs will help to improve the access of poor families to better nutrition, better health-care, and quality education. This can improve their chances of leaving poverty behind. Currently, Indonesia spends only 0.7% of GDP on social assistance programs, compared to 1.5% in Brazil and other low middle-income countries.
Support for the conference was provided by the Australian Government, which is partnering with the Government of Indonesia and the World Bank to open up opportunities for the poor and promote sustainable economic development.