Beyond Cash Transfers: Household Blended Finance and Inclusive Regional Transformation
Indonesia, as an archipelago nation provide an ideal example of how inequality between regions matters. Islands that are separated by sea/water create natural barriers that limit interaction between islands, hence leading to unequal levels of development. Java Island is the most developed region in the country. It is the place for Indonesia’s capital, Jakarta and the nation’s biggest city. Java Island is also the home of more than half of the 270 million of the Indonesian population but only consist of approximately 13% of the Indonesian land area. The unequal development can also be shown from economic and social aspects, where provinces in Java Island consistently earn a higher level than the national average. This created regions that are lagged or depressed. For example, provinces in Papua Island, despite having higher per capita income, have lower average school years of the population aged 15 and above, lower life expectancy at birth, and a higher poverty rate....