Country Strategy and Program 2003–2005: Indonesia

Abstract

This Country Strategy and Program (CSP) stands on a substantial body of knowledge of poverty in Indonesia. Following the Poverty Assessment in 2000, the Poverty Reduction Partnership Agreement (PRPA) was signed between the Government and the Asian Development Bank (ADB) in April 2001. The PRPA reflected the lessons of the crisis and the earlier development experience. The crisis showed how vulnerable many people were to sudden macroeconomic changes, particularly unexpected spikes in inflation, which can reduce real income for millions. The crisis also showed how innovative interventions can reduce the impact of poverty through support for social service delivery. The CSP benefited from a current governance assessment. Ongoing work on a private sector assessment also provided input to the CSP.