Indonesia: The third National Medium Term Development Plan 2015-2019 has been released with provisions for the expansion of the social protection system
Indonesia recently released its third Medium Term Development Plan RPJMN 2015-2019 as part of the country’s National development framework. This mid-term plan is enshrined in the country’s long term development plan RPJN 2005-2025, whose mission and vision are to “establish a country that is developed and self-reliant, just and democratic, and peaceful and united”. Following the 5th mission of RPJN to “create an equal and equitable development”, the RPJMN 2015-2019 reaffirms the sustained efforts the country plans to undertake for the implementation of the social security reform by addressing the challenges faced by the system (Expansion of coverage, Need to improve the quality of benefits provided and Financial sustainability of the social security schemes). This expansion strategy is in line with the ILO two dimension expansion strategy recommendation.
From a baseline of 51% of the population registered to the Social Health Insurance in 2015, the target is fixed at 95% at least by 2019. This is also the deadline at which registration to the social health Insurance is to become mandatory for all the residents.
The country is also planning to double the number of workers participating in an employment social security program in the same time frame (from approximately 30 million people to more than 60 million persons) in the formal sector and to increase the coverage of informal sector workers from 1.3 million people to 3.5 million. The employment social security provider, BPJS ketenagakerjaan is actually providing 3 programs (Work injury, Old age and death benefit), and will introduce a new public pension plan by July 2015.