Wahyu Dwi Anggoro
IDXChannel - The Asian Development Bank (ADB) has approved a USD500 million policy-based loan to boost Indonesia's human capital and improve labor productivity.
"The program is ADB’s commitment to continue our close and long-standing collaboration with the Government of Indonesia to help build resilient and responsive health, education, and social protection systems to stimulate economic growth and reduce poverty," said ADB Country Director for Indonesia Jiro Tominaga in a media release on Wednesday (15/11/2023).
“Reversing the setbacks in human development and productivity caused by the COVID-19 pandemic is among our priorities in supporting developing member countries,” he added.
This is the second of three subprograms under the Boosting Productivity through Human Capital Development Program and builds on the success of the first subprogram approved in 2021.
The Boosting Productivity through Human Capital Development Program facilitates integrated reforms in education, skills development, health, and social protection aligned with the Sustainable Development Goals (SDGs). These reforms have helped strengthen policies for financing and monitoring SDG implementation, including the establishment of 11 new SDG centers in Indonesia. These centers will further localize the SDGs through research and education, outreach, and policy advice. The government has provided performance-based fiscal transfers to local government units to incentivize SDG achievement.
