JAKARTA (April 5th, 2024) – The extreme poverty limit based on World Bank standards is 1.9 US dollars per day per family. At the current exchange rate of IDR 15,899, that means around IDR 1 million per month. In fact, the maximum amount of social assistance for each family is IDR 450,000 per month with three children.
“We find it difficult to overcome extreme poverty with a very limited budget of IDR 450,000 per month. Because of that, we have to make a breakthrough," said Minister of Social Affairs Tri Rismaharini when holding a Press Conference on the Nusantara Economic Hero (PENA) Program at the Ministry of Social Affairs (MoSA)’s Office, Jakarta, Thursday (4/4).
Efforts to overcome extreme poverty refer to Presidential Instruction (INPRES) Number 4 of 2022 concerning the Acceleration of the Elimination of Extreme Poverty. However, with a limited budget, it is not easy to overcome extreme poverty. For this reason, MoSA is making a breakthrough through PENA Program. Through this program, social assistance recipients receive business capital assistance of a maximum of IDR 5 million, along with the companion.
"The goal is for social assistance recipients to be independent and earn an income above the UMK," said the Minister.
Since its launch in November 2022, PENA has targeted thousands of Beneficiary Families (KPM) who are recipients of social assistance from the Family Hope Program (PKH), Non-Cash Food Assistance Program (BPNT)/Sembako, Social Rehabilitation Assistance (ATENSI) and other assistance.
By 2023, PENA has graduated as much as 10,073 KPMs. Meanwhile, 11,260 KPMs have graduated until March 2024. Thus, from 2023 to March 2024, as many as 21,333 KPMs have graduated through PENA Program. Graduation is the moment when a KPM is released from social assistance participation (which was obtained previously) as they are considered to be financially independent with an income indicator above the UMK.
"Even though they have graduated, we keep monitoring the development of their business. In fact, we warn their income not to drop down below the UMK," stressed the Minister.
The Minister also explained that PENA's budget in 2024 is only 85,000 KPMs. However, MoSA targets to be able to graduate 100,000 KPMs.
"I don't know where the budget will come from to reach the target of 100,000 KPMs. This target was set to motivate and encourage KPMs. Now, the Financial Services Authority (OJK) has helped so that hopefully this target can be achieved," said the Minister.
The Minister explained that it is not easy to increase people's income and encourage them to graduate because they have received social assistance regularly. "The most important thing is to change the mindset from receiving social assistance regularly to being entrepreneurial and independent. This effort requires hard work, but it is not impossible to realize," explained the Minister.
Public Relations Bureau
Indonesian Ministry of Social Affairs
“We find it difficult to overcome extreme poverty with a very limited budget of IDR 450,000 per month. Because of that, we have to make a breakthrough," said Minister of Social Affairs Tri Rismaharini when holding a Press Conference on the Nusantara Economic Hero (PENA) Program at the Ministry of Social Affairs (MoSA)’s Office, Jakarta, Thursday (4/4).
Efforts to overcome extreme poverty refer to Presidential Instruction (INPRES) Number 4 of 2022 concerning the Acceleration of the Elimination of Extreme Poverty. However, with a limited budget, it is not easy to overcome extreme poverty. For this reason, MoSA is making a breakthrough through PENA Program. Through this program, social assistance recipients receive business capital assistance of a maximum of IDR 5 million, along with the companion.
"The goal is for social assistance recipients to be independent and earn an income above the UMK," said the Minister.
Since its launch in November 2022, PENA has targeted thousands of Beneficiary Families (KPM) who are recipients of social assistance from the Family Hope Program (PKH), Non-Cash Food Assistance Program (BPNT)/Sembako, Social Rehabilitation Assistance (ATENSI) and other assistance.
By 2023, PENA has graduated as much as 10,073 KPMs. Meanwhile, 11,260 KPMs have graduated until March 2024. Thus, from 2023 to March 2024, as many as 21,333 KPMs have graduated through PENA Program. Graduation is the moment when a KPM is released from social assistance participation (which was obtained previously) as they are considered to be financially independent with an income indicator above the UMK.
"Even though they have graduated, we keep monitoring the development of their business. In fact, we warn their income not to drop down below the UMK," stressed the Minister.
The Minister also explained that PENA's budget in 2024 is only 85,000 KPMs. However, MoSA targets to be able to graduate 100,000 KPMs.
"I don't know where the budget will come from to reach the target of 100,000 KPMs. This target was set to motivate and encourage KPMs. Now, the Financial Services Authority (OJK) has helped so that hopefully this target can be achieved," said the Minister.
The Minister explained that it is not easy to increase people's income and encourage them to graduate because they have received social assistance regularly. "The most important thing is to change the mindset from receiving social assistance regularly to being entrepreneurial and independent. This effort requires hard work, but it is not impossible to realize," explained the Minister.
Public Relations Bureau
Indonesian Ministry of Social Affairs