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Unconditional Cash Transfer Case Study

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Unconditional Cash Transfer Case Study
People regard poverty as a global and significant issue that has been revolving around the world for a long time. Thus, it is not a mild issue that could be likely resolved in one day. In fact, as poverty is indeed a universal matter, countries of the United Nations even agreed to work together under the framework of Millennium Development Goals, in which it has been running to overcome poverty in many nations separately for approximately fifteen years.
Indonesia, as a country that belongs to United Nations, also deals with poverty alleviation interestingly. As we can see from Table 1 below, it shows a steady decline in national poverty for the past decade. However, this promising illustration was due to the poverty line developed by national
…show more content…
First, what is conditional cash transfer (CCT)? What makes it different from the unconditional cash transfer (UCT)? Conditional cash transfer is one of social transfer programs that grant poor households with regular cash under certain condition with which they comply by behaving as required, for instance sending their children to school or attending health clinics (Kidd and Calder 2011, p. 6). Basically, CCT comes with two dual objectives: 1) quick or short-term poverty reduction by means of cash transfers and 2) long-term poverty reduction by investing in human capital development (de Janvry and Sadoulet 2006, p. 2). In order to be able to meet these goals, the biggest challenge is to accurately build the criteria that determine “the poor households” or in other word, the beneficiaries (Ibid, p. …show more content…
RESEARCH STRUCTURE
This paper will try to analyze the effect of conditional cash transfer project, particularly the Hopeful Family Program, as a way to alleviate poverty in Indonesia. The main objective will be to answer the question of whether the program should be developed with conditions or not in order for it to be able to cover the poorest community equally.
The remainder of this paper will proceed as follows. As the section before this has already reviewed the previous evidence-based researches on the impact of Cash Transfer programs in some countries, the next section will then provide details about Hopeful Family Program in Indonesia, such as the development history, program coverage, targeting, impacts and the existing challenges. The following section after that will provide discussion based on the framework developed by Kidd and Calder (2011) and then we end it with the conclusion.

D. CONDITIONAL CASH TRANSFERS IN INDONESIA: CASE STUDY OF PROGRAM KELUARGA

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