Pathways towards economic security in Indonesia

The Indonesian government has achieved its aspiration to transition from a low-income to a middle-income country. Impressive development progress to date has allowed Indonesia to effectively address its 2024 goal to eradicate extreme poverty. Poverty-reduction has been broad-based, with growth in the Indonesian economy remarkably inclusive, but a third of households remain susceptible to falling into poverty upon a shock. Levels of inequality have also decreased across the country, though rural regions in Nusa Tenggara and Maluku Papua remain behind especially in human capital outcomes.