RI's poverty rate falls to 8.07 percent in year two of Prabowo-Gibran

Jakarta (ANTARA) - Indonesia's poverty rate fell to 8.07 percent in March 2026, with 22.93 million people living below the national poverty line, as the government steps up poverty-reduction efforts.

The government cited the figures as progress in poverty reduction as Prabowo and Vice President Gibran Rakabuming Raka approach their second anniversary in office on October 20, 2026.

The Government Communications Agency (Bakom), citing Statistics Indonesia (BPS), said the number of poor people declined by 920,000 from March 2025.

The government continues to strengthen poverty reduction through social protection, meeting basic needs and community economic empowerment, Bakom Deputy for Partnerships and Media Relations Kurnia Ramadhana said in a statement on Sunday.

He said the poverty rate fell from 10.14 percent in 2021 to 8.47 percent in 2025, while extreme poverty declined from 2.14 percent to 0.85 percent.

Over the same period, income inequality, measured by the Gini ratio, improved from 0.384 to 0.375.

Ramadhana said the government had also developed integrated, data-based social protection programs to better target aid and help families escape poverty.

The government also introduced Wage Subsidy Assistance (BSU) to help preserve workers' purchasing power.

The 2025 program targeted about 17 million eligible workers, providing Rp300,000 (about US$16.64) a month for two months in a single Rp600,000 (about US$33.29) payment.

The government is also expanding job opportunities through a national internship program for university graduates, offering 100,000 places in 2025 and 150,000 in 2026.

An evaluation found that about 30 percent of 2025 participants were offered jobs by the companies where they completed their internships.

The program aims to strengthen graduates' skills, prepare them for the job market and widen access to more stable employment.

The government also uses the Human Capital Index as a development measure, with a target score of 0.56 for 2025.

The index measures the capabilities and competitiveness of Indonesia's human resources.

These policies are part of broader efforts to reduce poverty, create jobs and sustainably improve public welfare.

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Translator: Maria Cicilia G P, Resinta Sulistiyandari
Editor: Rahmad Nasution
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