Bak Langit & Bumi Beda Kemiskinan RI Versi BPS & Bank Dunia

Summary

The video discusses the significant disparity in poverty statistics between Indonesia’s Central Bureau of Statistics (BPS) and the World Bank. The World Bank’s April 2025 report highlights that over 60% of Indonesia’s population is considered poor, using an international poverty line for upper-middle-income countries. Meanwhile, BPS reports a much lower poverty rate, focusing on the cost of meeting basic needs. The video explores how these differing methodologies lead to contrasting figures and emphasizes the need for policies addressing not just poverty but also rising economic inequality and the widening gap in purchasing power.

Takeaways

• 😀 The World Bank reports that Indonesia's poverty rate reached 171.8 million people (60.3% of the population) in 2024, based on a poverty line of $6.85 per capita per day.
• 😀 The World Bank's poverty measurement differs significantly from Indonesia's National Statistics Agency (BPS), which reports only 8.57% of Indonesians as living in poverty, or around 24.06 million people.
• 😀 The World Bank's methodology uses international standards, including the poverty line of $6.85 per day for upper middle-income countries, which affects the large poverty figures in Indonesia.
• 😀 According to BPS, poverty is measured using a basic needs approach, focusing on the minimum expenditure required to meet essential food and non-food needs, such as housing, education, and healthcare.
• 😀 BPS bases its poverty data on the National Social and Economic Survey (SUSENAS), which tracks consumption patterns across urban and rural areas in Indonesia.
• 😀 The large discrepancy between the World Bank's and BPS's poverty data is largely due to differing standards: the World Bank uses a global poverty line, while BPS relies on national-specific needs.
• 😀 Indonesia's inclusion as an upper-middle-income country since 2023, with a GNI per capita of $4,870, places it in a higher income bracket, which explains the high poverty numbers according to the World Bank's standards.
• 😀 Indonesia's poverty rate, at 60.3%, is among the highest in Southeast Asia, with Laos having the highest rate at 68.9%, followed by the Philippines at 50.6%.
• 😀 While Indonesia's poverty percentage is high in the ASEAN region, it still fares better than countries like Laos and the Philippines in terms of absolute numbers of people living in poverty.
• 😀 Despite the declining poverty rate in Indonesia according to BPS, challenges like decreasing purchasing power and growing economic inequality remain significant obstacles for the country.

Q & A

What is the main difference between the poverty data reported by the World Bank and the BPS?

The World Bank reports a much higher poverty rate in Indonesia (around 60.3%) using a global poverty line of USD 6.85 per capita per day, which applies to upper-middle-income countries. In contrast, the BPS reports a much lower poverty rate (around 8.57%) based on a national poverty line that accounts for the basic needs of Indonesians, such as food, housing, and transportation.

Why does the World Bank use a poverty line of USD 6.85 per capita per day for Indonesia?

The World Bank uses this threshold because Indonesia has been categorized as an upper-middle-income country since 2023, with a gross national income (GNI) per capita of USD 4,870. This standard reflects the poverty line used by other upper-middle-income countries.

How does BPS define poverty in Indonesia?

BPS defines poverty based on the basic needs approach, which includes expenditures required to meet the minimum needs for food (e.g., rice, eggs, vegetables) and non-food items (e.g., housing, education, healthcare, transportation).

What is the significance of the discrepancy between the World Bank’s and BPS’s poverty rates?

The discrepancy arises from different methodologies: the World Bank uses a global standard, while BPS uses a national standard based on local consumption patterns. This highlights the challenge of comparing poverty data across different countries with distinct economic conditions.

What is the impact of the wide income gap in Indonesia on poverty statistics?

Despite a decrease in poverty rates, the growing income inequality in Indonesia means that many people still struggle with low purchasing power. This highlights the need for policies that address not only poverty but also economic inequality.

Why does BPS believe that its method for calculating poverty better reflects Indonesian realities?

BPS believes its method, which is based on actual consumption and expenditure data, better captures the real needs of Indonesians. It also adjusts for regional differences by considering urban and rural areas separately.

How does the World Bank’s approach to measuring poverty compare to BPS’s approach?

The World Bank’s approach is based on international purchasing power parity, using a set threshold to compare poverty across countries. BPS, on the other hand, uses a national poverty line that reflects the cost of living and consumption patterns specific to Indonesia.

What are the three poverty lines used by the World Bank to measure poverty?

The World Bank uses three poverty lines: USD 2.15 per capita per day for extreme poverty, USD 3.65 for lower-middle-income countries, and USD 6.85 for upper-middle-income countries.

What is the global ranking of Indonesia’s poverty rate in Southeast Asia?

Indonesia’s poverty rate, according to the World Bank, is the second highest in Southeast Asia, just behind Laos. Other countries like the Philippines and Vietnam also have significant poverty rates.

What role does the Indonesian government play in addressing poverty and income inequality?

The Indonesian government aims to reduce poverty by improving the purchasing power of the middle class, particularly workers and small businesses. However, challenges such as income inequality and the widening gap between different economic classes remain critical issues.