Poverty in Indonesia

The poverty rate in Indonesia is still very high by statistical center in Indonesia The number of poor people in Indonesia in March 2012 reached 29.13 million (11.96 percent), reduced by 0.89 million people (0.53 percent) compared to the poor in March 2011 which amounted to 30.02 million (12.49 percent). During the period March 2011-March 2012, the poor in urban areas is reduced by approximately 399.5 thousand people (from 11.05 million in March 2011 to 10.65 million in March 2012), while in rural areas decreased 487 thousand people (from 18.97 million in March 2011 to 18.48 million in March 2012). The percentage of poor people in urban areas in March 2011 amounted to 9.23 percent, dropping to 8.78 percent in March 2012. Likewise with the poor in rural areas, from 15.72 percent in March 2011 to 15.12 percent in March 2012. The role of food commodities to the poverty line is significantly greater than the role of non-food commodities (housing, clothing, education, and health). In March 2012, donations to the Food Poverty Line Poverty Line by 73.50 per cent, not much different from that in March 2011 at 73.52 persen.Komoditi food greatly affect the value of the urban poverty line is rice, cigarette filters, egg race, sugar, chicken, tempeh, tofu, noodles, onion, and red pepper. Meanwhile, commodities that will greatly affect the value of the Poverty Line in rural areas are rice, filter cigarettes, sugar, eggs, instant noodles, tempeh, onion, tofu, in addition to coffee and cayenne pepper.

Poverty reduction in Indonesia can not occur significantly in because of several factors among others due to the high inflation rate in the community, leading to high staple and lower purchasing power of the people. The decline in poverty is happening with a growth rate above 6 percent during 2010 to mid-2012. Notwithstanding the foregoing, the poor perceived inflation is still high. It can be seen from the poverty basket inflation of 10.9 percent in 2011, and 6.52 percent, which is a provisional figure, in 2012. The percentage decreased only thin. "Even in 2005, despite the growth, but poverty basket inflation recorded up to 12.87 percent because of rising fuel prices, the impact on the increase in the poverty rate, from 15.97 percent to 17.75 percent in 2006.

Another thing that is not the cause of the poverty reduction in Indonesia is caused by rising unemployment in Indonesia. Total labor force in Indonesia in August 2012 reached 118.0 million, decreased by about 2.4 million people compared to the labor force of 120.4 million people Februari2012 or increased by about 670 thousand people compared to August 2011.Jumlah residents working in Indonesia in August 2012 reached 110.8 million, decreased by about 2.0 million people compared to the state in February 2012 amounted to 112.8 million or an increase of 1.1 million people compared to the state in August 2011. Unemployment rate (TPT) in Indonesia in August 2012 reached 6.14 percent, lower than in February 2012 amounted to 6.32 TPT

During the last year (August 2011-August 2012), the number of people working has increased, especially in the industrial sector sekitar830 thousand (5.71 percent), and Social Services Sector of 450 thousand people (2.70 percent). While the sectors are declining agricultural sector amounted to 450 thousand people (1.14 percent), Trade Sector by 250 thousand people (1.07 percent), and the Transport Sector, Warehousing, and Komunikasisebesar 80 thousand people (1.57 per cent ).

Based on the number of hours worked in August 2012, amounting to 76.5 million people (69.04 percent) to work over 35 hours per week, while residents to the number of hours worked less than 15 hours per week at 6.6 million (5.98 percent ). In August 2012, the work on the elementary school education still dominates in the amount of 53.9 million people (48.63 percent), while the working population with education diploma approximately 3.0 million people (2.68 per cent) and people working with university education is only of 7.0 million (6.30 percent).

Looking at the above, the Government should work more seriously in the face of poverty in Indonesia, and not just concentrate on the problem of political feuding and corruption cases. tackle the problem of corruption let remain a realm of law and politics as a means of exploitation that is currently perceived by the public. Leaders in Indonesia each other down to get busy political position for personal or group interests them.

Development projects that can be felt directly benefits should be implemented by the government , such as the provision of  energy-efficient power plant (low energy power), so will lower the basic rate electricity prices, the decline in electricity prices will make affect to the cost of industrial sectors and price freight transportation, things like this will automatically lower the base price of basic commodities in Indonesia and increasing the purchasing power of the people in the area. Export policies  also need to be improved. in the real sector or banking should be more simplified procedures for working capital loans to export-oriented business filed, with the provision of working capital to the soft floral craftsmen that produce export commodities. Guidance for export-oriented businesses should be improved, it is to encourage the country's foreign exchange earnings which will be used to build the country.