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Decentralization and Governance in Indonesia

Author : Ronald L. Holzhacker
Publisher : Springer
Page : 305 pages
File Size : 15,19 MB
Release : 2015-09-11
Category : Political Science
ISBN : 3319224344

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Indonesia over the past two decades has embarked on a process of decentralization as part of a broader process of democratization, which followed earlier periods of centralized governance and authoritarian rule across the archipelago. The purpose of this book is to begin to explore the connections between governance and sustainable society in a wide variety of policy fields in Indonesia, and how reforming governance structures may contribute to societal benefits and the creation of a long-term sustainable society. This book bridges important theoretical debates related to governance and sustainable society and provides empirical research from Indonesia in important policy areas related to this debate. By placing research in different policy areas in a single volume, the link to the broader concepts of governance, decentralization, and societal outcomes is strengthened. The book builds on the recent interest that has focused on Indonesia and the continued development of democracy in the country. The chapters in the book show a rich variety of decentralized governance arrangements and capacity building at the local level in particular. Central standards (for example for social sustainability, anti-corruption arrangements, or for dealing with direct foreign investment), combined with local innovation (for example for municipal coordination of primary health care or metropolitan transport), are key to Indonesia as a country in a continuing process of transformation. We identify three key trends in the on-going process of decentralization and governance in Indonesia. First, we find that formal governance, the relation between the national and local government, is characterized by a system of ‘variable geometry multi-level governance’ depending on the policy area. The challenge ahead is strengthening accountability mechanisms to assure national standards while preserving and encouraging local innovation. Secondly, informal governance mechanisms are evolving to move from ‘hierarchical to network’ forms of governance. Here the challenge is to insure democratic input by citizens and civil society organizations. Finally, we identify a trend toward ‘shared value creation and sustainable cooperation.’ Indonesia is beginning to move from a rather singular policy focus on economic growth to a more complex and developing notion of policymaking for inclusive growth and the creation of a sustainable society for present and future generations. Here the challenge is sound implementation and to increase the effectiveness of governance mechanisms. There is also a noted diffusion of goals, to focus beyond the Jakarta metropolitan area to smaller regional cities, as urbanization continues and rural areas are changing. This book will be of interest for use in advanced undergraduate and graduate courses related to Southeast Asia in the fields of international relations, political science, public administration, economics, law, sociology, educa tion, public health, and the spatial sciences. It will also be of interest to policymakers and government officials at the national and local level in Southeast Asia and middle-income developing countries, officials and policymakers in institutions of regional governance such as the Association of Southeast Asian Nations (ASEAN), and of global governance such as the United Nations and World Bank. It will also be of interest to civil society organizations and other actors focused on policy development and economic development, health, education, the environment, sustainable transport, etc. The book will also be of interest to business people interested in economic and governance issues, such as the management and governance of in-bound foreign investment, inclusive growth, and corporate governance. Finally, the book should be of interest to citizens in advanced, middle-income, and developing countries motivated to learn more about the links between governance and the creation of a sustainable society for current and future generations.

Decentralization and Public Service Provision in Indonesia

Author : Ronnie Rahman Nataatmadja
Publisher :
Page : 175 pages
File Size : 26,99 MB
Release : 2017
Category : Political science
ISBN : 9780355299243

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This study examines the role of the middle class in influencing local government spending and political turnovers in a decentralized Indonesia. It analyzes the changes in pattern of education and infrastructure spending in the pre and post decentralization era, specifically the changes due to the implementation of direct mayoral election in municipalities that began in 2005. The study finds that in the post direct election era, education and infrastructure spending are higher. For education spending, the increase is amplified by the presence of the middle class. As the size of the middle class in a city increases, the effect of decentralization on education spending becomes stronger. On the other hand, the effect of decentralization on infrastructure spending is attenuated by the size of the middle class in cities. In addition, the middle class amplifies the effect of local government performance on political turnover of mayors. The effect of elementary school enrollment rate on mayors' votes is stronger as the size of the middle class in a city increases. This study finds no conclusive results on the effect of the middle class on political turnovers of city council members. Last, the study qualitatively explores the role of nongovernmental organizations in influencing local government decision-making and building the capacity of the citizens in ensuring local government accountability.

Decentralizing Infrastructure

Author : Antonio Estache
Publisher : World Bank Publications
Page : 38 pages
File Size : 12,39 MB
Release : 1995
Category : Business & Economics
ISBN :

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World Bank Discussion Paper No. 286. This report was commissioned as part of a project on the effectiveness of credit policies in East Asian countries. In the Republic of Korea, the government has played a pervasive role in promoting industrialization and economic development. The report documents the use of directed credit programs and highlights what made government intervention effective: its close consultation with industry, the existence of a competitive business environment, and a strong monitoring and evaluation system. The report notes the risk-sharing arrangements developed by Korean policymakers and the flexible adaptation of directed credit programs to the changing needs of the Korean economy. The authors also emphasize the long-term costs of reliance on directed credit programs and the measures taken in recent years to redirect the programs' objectives and redress the imbalances that have arisen along Korea's path to economic development.

Decentralization and Rural Development in Indonesia

Author : Sutiyo
Publisher : Springer
Page : 173 pages
File Size : 31,33 MB
Release : 2017-01-18
Category : Political Science
ISBN : 9811032084

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This book integrates the fundamental theories of decentralization and rural development, providing a comprehensive explanation of how they can be successfully implemented to improve the livelihoods of rural communities in Indonesia. The topics addressed in this book include participatory budgeting, social capital, community participation, local capacity development, and poverty alleviation, which are discussed in detail from the perspectives of local politics, public administration, rural economy, and community studies. The multifaceted interrelations between these disciplines are analyzed to formulate a framework identifying the opportunities and challenges involved in formulating guiding principles for the implementation of decentralization. Readers are provided with the necessary intellectual groundwork through theoretical discussions and case studies involving grassroots realities in Indonesian villages. This book is highly recommended for all readers who are seeking an in-depth understanding of modern efforts to effectively implement decentralization in developing countries to promote local democratization, community empowerment, and poverty alleviation.

Fiscal Decentralisation, Local Institutions and Public Goods Provision

Author : Sarmistha Pal
Publisher :
Page : 57 pages
File Size : 31,40 MB
Release : 2016
Category :
ISBN :

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Using data from the Indonesian Family Life Surveys, we study the impact of fiscal decentralisation in Indonesia on local public spending across communities characterised by different types of informal and formal institutions. Our results provide new evidence that fiscal decentralisation led to a significant increase in community spending on social infrastructure (health and education) in communities which observed strict adherence to customary laws and had a tradition of local democracy. We argue that investment in transport and communication facilitates exchange with outsiders and improves the outside options of community members, thus making it more difficult to sustain intra-community cooperation. Consequently, communities which enjoy a high level of cooperation in collective activities benefit less from investing in transport and communication and are more inclined to invest in social infrastructure.