November 2018 | by Ari Nurman, Perkumpulan Inisiatif
The adoption of performance-focused budgeting and a program structure for expenditure has been evolving for some time in Indonesia. The transition to the practice of performance and program-based budgeting was intended to allow the public to see: 1) the relation between inputs (funding) with the expected outputs and outcomes; and, 2) the effectiveness and efficiency of programs and activities. However, as a staff member of the budgeting directorate in the Ministry of Finance admitted in an interview, the reform is yet to be fully implemented.
This case study examines program budgeting in the health sector in Indonesia. The authors examined Indonesian legislation and budget documents, and conducted several interviews with resource persons from relevant institutions to collect information on Indonesia’s implementation of program-based budgeting and all of its accompanying challenges.
IBP’s work on program budgets, in partnership with the World Health Organization (WHO), examines global practices related to budget program structure in health to shed light on how governments define program objectives as part of their broader quest to shift budgeting toward results that matter to citizens. The following publications are also part of this project:
- Program Budget Structure in the Health Sector: A Review of Program-Based Budgeting Practices in Low- and Middle-Income Countries (Synthesis Paper)
- Program-Based Budgeting in Health in Low- and Middle-Income Countries: A New Dataset (Dataset of 30 Countries and Technical Note)
- Defining and Managing Budget Programs in the Health Sector: The Brazilian Experience (Case Study)
- Program Budgeting for Health Within Mexico’s Results-Based Budgeting Framework (Case Study)
- The Philippines: From Performance to Programs in the Health Budget (Case Study)