scholarly journals Indonesia’s Village Fund Program: Does It Contribute to Poverty Reduction?

2021 ◽  
pp. 65-80
Author(s):  
Novita Briliani Saragi

To stimulate rural development and reduce poverty in rural areas, The Government of Indonesia enacted the policy of Village Fund in 2014. However, a few studies have been conducted to examine this program. This study describes how poverty alleviation goes following Village Fund Program in Indonesia between 2015-2019. The poverty reduction was represented by holistic data, including insufficient and village status improvement through the Village Development Index (VDI). The analysis is conducted using a descriptive method by dividing the areas into six regions, Sumatera, Java & Bali, Kalimantan, Sulawesi, Maluku & NT, and Papua. The result showed that over five years, the village fund dramatically increases. Moreover, this growth is along with the slight decline the poverty. The researchers found that the decreasing number of poverty from 2015 to 2019 is about 15%. The VDI status for districts/municipalities shows that the status improved from underdeveloped villages in 2015 to developing villages in 2019. Java is the region that contributed to making the status improved either to be developing, developed, or independent. At the same time, it is the Papua region known as the region consisting of most of the least underdeveloped villages. Since the goal of this policy in poverty reduction still works slowly, it needs a lot of effort from many levels of government, from the village, regional, and national officials, to work together cooperatively.

2021 ◽  
Vol 56 (4) ◽  
pp. 673-681
Author(s):  
Vince Tebay

In Papua Province, poverty has become an important problem common in other regions in Indonesia and worldwide, especially in developing countries. The Millennium Development Goals targets have pushed the Indonesian government to emphasize poverty reduction programs throughout Indonesia. Rural areas in Papua, particularly villages, have been the target point for the poverty alleviation program because many in rural areas experience poverty that is worse than urban areas. Rural development is considered an effective method for poverty reduction. Meanwhile, the development program as a whole has neglected rural communities. In Papua Province, poverty reduction programs have been implemented ineffectively due to part of the village development program, the top-down approach of the government, and the absence of competent resources. So far, village development policies have been implemented without considering village potential, spatial arrangements, holistic approaches, and lack of budget allocations. In addition, the role of village government shows an ineffective performance. Thus, this study aspires to identify how much influence communication, resources, disposition, and bureaucratic structure have on poverty reduction in Papua Province. This study indicates that communication, resources, dispositions, and bureaucratic structures affect village development policies and influence poverty reduction in Papua Province. This research also shows that the lower the performance of the implementation of village development policies indicated by four variables, the less effective it is in poverty alleviation in Papua Province. In this study, a novelty that previous researchers have not found has been found, namely; that in the effectiveness of poverty reduction, it is necessary to develop an effective communication so that program implementation can run optimally, and it needs to be supported by the character or behavior of the implementers of the village development program.


2021 ◽  
Vol 3 (3) ◽  
pp. 679-688
Author(s):  
Do Quang Giam ◽  
Dao Thi Hoang Anh ◽  
Vu Ngoc Huyen ◽  
Lai Phuong Thao ◽  
Dao Huu Bao ◽  
...  

Group-based lending is a form of loan provision for individuals and households in rural areas for production and consumption purposes. Proceeding from the imbalance between demand and supply on small-scale capital, and also Government policies on sustainable poverty reduction, the Vietnam Bank for Agriculture and Rural Development (Agribank) has coordinated with its local authorities and socio-political organizations to provide loan services via group lending. The purpose of this paper was to evaluate the status of group lending development of the Agribank-Bac Giang Branch II. The paper used secondary data collected from the branch and primary data gathered from 50 representative customers and 10 credit officers related the group lending of the branch. Data analysis methods consisted of descriptive statistics and comparative analysis, incorporated with the measurements for bank performance and quality. The findings show positive prospects in both the bank and customers for the development of group lending activity and obstacles in the group lending development of the branch. The paper also proposes some solutions for the branch to tackle difficulties and promote the development of group lending in the branch in Bac Giang province.


2018 ◽  
Vol 2 (2) ◽  
pp. 95
Author(s):  
Sri Kusriyah

The government policy in terms of rural development are set to determine the priority of the village budget is used for rural development initially was referring to Act No. 6 of 2014 on the village, Article 1 point 8 states that Rural Development is an effort to improve the quality of life and life to sebesar- the welfare of the village community. Priority use of the Village Fund to finance the implementation of priority programs and activities that cut across the field. among other areas of activity featured products village or rural areas


Author(s):  
Rene Iwo Pearce

This study aims to describe and analyze the use of village funds in poverty alleviation and the factors that influence the use of village funds sourced from the State Budget for poverty alleviation. The research used the case study method. The results showed that the utilization of village fund had been implemented in accordance with the Regent Regulation No. 6 of 2019 concerning technical instructions and procedures for the distribution and determination of details of village fund given to 142 villages in 13 sub-districts, allocated equally and fairly based on the basic allocation, affirmation allocation, and formula allocation calculated by taking into account the number of villagers, the village poverty rate, the area of the village and the level of geographical difficulty. In terms of utilization of village fund through a mechanism agreed upon in the village deliberations as the highest village forum involving village government officials, the Village Consultative Body, and elements of the village community, the use, and utilization of village fund which increase every year are more prioritized in Physical Village development (95.28%) of the total village fund, compared to the use of village fund for community development and empowerment activities (4.72%) for poverty reduction, and the use of village fund has not significantly reduced poverty rates in rural areas. Factors that influence the use of village funds are (1) conflicting regulations on the use of village funds, (2) weak supervision from both government officials and the community, (3) the low commitment of village elites in utilizing village funds to reduce poverty rates in rural areas.


2020 ◽  
pp. 149-154
Author(s):  
Somsy Xayalath ◽  
Eszter Balogh ◽  
József Rátky

The present paper explored the influence of breeding native pigs on livelihood conditions and the contribution of native pigs to the rural development and rural poverty reduction in the rural areas of Lao PDR. Pig production plays an important role in meat supply for both urban and rural areas of Laos. It is clear that most of the pig products in the country come from smallholder pig farms, and more than 90 percent of those products are the native pigs mostly raised by farmers in remote areas. In general, livestock production distributed between 15–18 percent to GDP, while most of animal production still remains as the traditional methods. Rural development is always the first priority of the Laos government since its independence in 1975, however, the poverty rate in rural areas remained high at 23% in 2018. It might block the development goal of the government which will lead the country out of the least development status by 2020. The food security and malnutrition in the rural or mountainous areas are considered as the majority issue that both government and several international organizations have been thriving hard to overcome, which researchers showed that more than 45% of children under 5 years of age were stunted, and 28% of them were underweight. Inspired of more than 50 % of the households in the rural areas of Laos reported they consumed chicken and pork at least one day a week. While native pigs play an important role on meat supply, it also constituted around 9–14 % of annual income of the households in rural areas. Therefore, the increase the production of pigs and poultry is one option to promote the meat supply to households in the rural areas of Laos. This paper will be a pathway to guide and identify for the final decision to what experiment will be implemented on Lao native pig in Laos (2021–2023) to complete the comparative study on reproductive physiology and reproductive management methods of Hungarian and Lao Indigenous pig breed. Which found it still needs further afford to research and improve more about native pig performance for all areas of productive and quality management.


Energies ◽  
2021 ◽  
Vol 14 (13) ◽  
pp. 3994
Author(s):  
Yinan Xu ◽  
Yingxing Zhao ◽  
Peng Sui ◽  
Wangsheng Gao ◽  
Zhijun Li ◽  
...  

A number of new rural management models have emerged to solve the problems of economic backwardness, insufficient resource utilization, and technical shortages in rural areas in the context of poverty alleviation to the rural revitalization strategy in China. However, the influence of new rural management model under all countermeasures for rural sustainable development with a comprehensive perspective is lacking. Therefore, exploring whether the new rural management model meets the requirements of sustainable development is an urgent issue. From the theory of system metabolism and emergy accounting method, this study classified the government funds for poverty alleviation measures as import resources, and analyzed the metabolic structure, efficiency, and the rural development factors of Chehe Village before and after poverty alleviation measures are carried out (the year of 2012 and 2019) to verify whether the new model was sustainable. According to the results of this study, the new management model of Chehe Village declined the rural system sustainability with the emergy sustainability index decreasing from 1.96 in 2012 to 0.32 in 2019. With the development of economy, the system metabolic efficiency of Chehe Village promoted and the metabolic structure became more reasonable manifesting in the decline of emergy use per unit GDP and the increase of emergy exchange rate. Moreover, production and livelihood had been highly valued in Chehe Village. In conclusion, it is feasible to add countermeasures of poverty alleviation and rural revitalization into the village system metabolism. The new management model of Chehe Village needs to change exogenous force into endogenous force to meet the requirements of rural sustainable development.


2018 ◽  
Vol 8 (1) ◽  
pp. 27-31 ◽  
Author(s):  
Deepika Saxena ◽  
Navneet Joshi

Digitalization is the need of the era, and the Government of India has been taking numerous initiatives in this direction. The present case is about the Akodara Village in Gujarat which is known as the ‘first Indian digital village’. The ICICI Bank adopted this village and made it 100 per cent digital with proper infrastructure facilities which have been leading the village in the direction of electronic/digital payments. The purpose of the case is to make the people aware about the digitalization initiatives taken by the Government and banks and the possibilities of bringing technology to the rural areas of India. This has been seen from the case that if proper infrastructure is made available and there is a strong will power to plan and implement to challenge the status quo, nothing is impossible. ICICI Bank has actually converted impossible to possible. This case focuses on various initiatives taken in this direction to make this achievement possible.


Financial inclusion has been widely recognized as an engine of economic and social development. World Bank group laid stress on the role of financial inclusion in poverty reduction and boosting shared prosperity. Increasing the importance of financial inclusion for inclusive growth has gained the attention of researchers and academicians across the world. This review deals with the findings of research studies conducted on the extent and status of financial inclusion in India. A review of empirical findings revealed that despite many initiatives taken jointly by the Government and Reserve Bank of India, financial services outreach was not been very satisfactory. People particularly in rural areas, still did not have access to banking services. Evidence of gaps in financial inclusiveness in the country could also be perceived from the review. Lack of awareness and financial literacy, high cost of financial services, continued dependence of rural people on moneylenders, regional disparities in terms of outreach, etc. emerged as some of the critical issues. Hence, the study suggested that some concrete steps need to be taken by the government to improve the status of financial inclusion


2018 ◽  
Vol 2 (1) ◽  
pp. 70-75
Author(s):  
Citra Etika

The Village Fund is one of the policies made by the government to alleviate poverty in the village and strengthen village autonomy. The use of Village Funds is used in the field of village development and the field of community empowerment, of the total Village Funds channeled to the Village 75 percent for the development sector while for the community empowerment sector only 25 percent so that the way to overcome poverty is still relatively small. The objectives to be achieved in this study are to find out about poverty reduction policies through the Village Fund and strengthening village autonomy in Prabumulih City. The research was conducted in the villages of Jungai, Sinar Rambang, Rambang Senuling, Karangan, Talang Batu, Kemang Tanduk. The method in this study is a qualitative method using Focus Group Disussion (FGD), interviews with parties related to poverty alleviation issues (officials of the Village Consultative Body, Village Chief, Village Treasurer, Village Secretary, Planning Head, Head of Public division, head of finance division, Head of Government, Head of People's Welfare, Head of construction division, community leaders). The results of this study are that the Prabumulih City Government has implemented policies by gradually channeling Village Funds based on village performance. However, villages in Prabumulih City have not fully focused on poverty alleviation efforts. This can be seen from the APB Village Responsibility Report at the expenditure point in the field of community empowerment which is used for “posyandu” empowerment activities, Up2K, SisKeuDes training activities. Furthermore, the number of poor people in Prabumulih City is still high, namely BPS data of 43,464 people.  Keywords: Poverty Alleviation Policies, Village Funds, Village Autonomy


2016 ◽  
Vol 4 (1) ◽  
pp. 75
Author(s):  
Isna Fitria Agustina

The purposes of this research described the implementation of the strategic development of the strategic agropolitan area in Jabon district Sidoarjo and described the factors that become an obstacle in the implementation of poverty alleviation social. This study used a qualitative method with descriptive data approach, to gather information through interviews, observation and document analysis. Data analysis is performed with data reduction, presentation and conclusion. The conclusion of this study emphasized that there are two important factors that indicate the results of the development of strategic areas agropolitan such as supporting poverty reduction is still less than optimal. This happens due to several factors namely sub-systems such as the development of agricultural resources and competitive commodities, public facilities and infrastructure, social and agribusiness are required for a support haven’t been provided by the local government to the village administration in the region Jabon. Second the inhibiting factor both government and society itself. The services provided by the district governments do not make the people satisfied besides the communication between the government districts and communities do not occur regularly. In this case, their lack of knowledge and information on how the resource is used as a tool of social poverty alleviation.  This happens because the level of public education remains low and access in the process of fulfilling the knowledge and information is still limited.


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