Presentasi 2 MAHKOTA August 20 FINAL
Cash transfers for the
elderly: to reduce poverty
and stimulate the economy
22 August 2017
Agenda
• Why are cash transfers for the elderly important?
• Global evidence from elderly cash transfers
• A description of ASLURETI beneficiaries
• Impacts of ASLURETI
2
Agenda
• Why are cash transfers for the elderly important?
• ASLURETI: An example of a successful elderly cash transfer in
Indonesia
• A description of ASLURETI beneficiaries
• Impacts of ASLURETI
• Global evidence from elderly cash transfers
3
•
•
•
•
Stunting
Cognitive development reduced
Miss out on immunization
No access to ante-natal and
post-natal care
• Loss of parental care from
bereavement or migration
•
•
•
•
Early
Childhood
Increasing frailty
Inability to work
No care from family
Discrimination in labor
force
Limited access to credit
•
Old Age
•
•
•
•
•
•
•
Unemployment and
underemployment
Inadequate wages
Debt
Need to care for
children and parents
No childcare
Gender discrimination
Domestic violence
•
•
•
•
Child labour
No access to school
Malnutrition
Loss of parental care from
bereavement or migration
School
Age
COVARIATE
AND HEALTH
SHOCKS
•
•
•
•
•
Working
Age
Youth
DISABILITY AND
CHRONIC ILLNESS
Inadequate skills
Unemployment
Inability to access
training
Allienation
Early motherhood
Key economic challenges of old age:
• Increased challenges to earning an income
• Increased expenditures (health and care)
5
… ut older people do ’t li e o a isla d
6
Most older people are part of
complex family and kinship networks
In absence of social protection,
older people are often net
recipients of financial support
and care from children…
…although this support may be
limited, and puts financial
pressure on others….
7
Pensions provide support to wider
family and kinship networks
Rp.
Pension income can allow older
people to be net contributors
to their families.
• Boosts dignity and
autonomy
• Improves situation of
families
8
Agenda
• Why are cash transfers for the elderly important?
• Global evidence from elderly cash transfers
• A description of ASLURETI beneficiaries
• Impacts of ASLURETI
9
Elderly cash transfers improve the future labor
force: reduced stunting
Percentage of children under age 5 with stunted growth, by province in Indonesia
Children who are stunted are likely to earn
26 per cent less as adults if they had
reached their full development potential
South Africa: households with Old Age
Grant recipients resulted in a 5 cm
increase in height-for-age of children
Uganda: the old age grant has contributed
to an increase in the weight-for-height of
children of 0.86 s.d.
Over 37 per cent of children under age 5 were stunted
in 2013, which amounted to roughly 8.4 million children
nationwide.
Elderly cash transfers contribute to the future labour
force: improved education
Percentage of children and youth attending school by age and by type of education, 2015
• South Africa: households that received
an Old Age Grant had a 25% reduction
in the share of children not enrolled in
school Source: Samon et al. (2004)
• Uganda: The SAGE program
contributed to a 14% increase in the
proportion of children attending primary
and secondary school Source: Kidd et al. (2016)
• Bolivia: school enrolment is 8
percentage points higher in old age
transfer households Source: Mendizabal and Escobar
(2013)
56% of youth in Indonesia complete senior secondary
education
Source: Indonesia Ministry of National Development Planning and the United Nations Children’s Fund
(2017)
• China: the Old Age Transfers have
reduced delayed education among
younger girls and dropout rates among
older girls Source: Huang and Zhang (2016)
Elderly cash transfers
help people invest in
small businesses and
generate income
• The Senior Citizen’s Grant in Uganda has contributed to
a 77% increase in beneficiaries purchasing livestock and
a 42% increase in the value of livestock purchased
• In a study in Swaziland, 19% of old age transfer
recipients stated they were able to grow more crops as
they could buy afford more seeds, fertilisers, hire of
tractors, purchase manure and buy petrol for water
pumps (RHVP et al., 2010).
• Food consumption among rural beneficiaries of the
elderly cash transfer in Bolivia rose by almost 165% of
the transfer value due to investments in agricultural
inputs and livestock (HLPE, 2012 as cited in Holmes &
Bhuvanendra, 2013)
12
12
…And have been proven to reduce
poverty
Relationship between reductions in poverty in OECD countries
after social transfers with cash transfer expenditure
Reduction in old age (65+) poverty rate (%) before and after
social transfers
100%
Iceland
90%
80%
Netherlands Luxembourg
Czech-…
Hun…
Ireland Norway Slovak Republic
Finland Germany
Canada Denmark
BelgiumSpain Poland
New Zealand Estonia Sweden
Slovenia
In Georgia, 69% of the
reduction in child poverty
is the result of its
universal old age cash
transfer
France
Portugal Greece
Italy
Austria
United Kingdom
Japan
70%
United States
60%
Switzerland
Israel
Australia
Chile
50%
40%
Turkey
30%
20%
Mexico
Korea
10%
0%
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
National spending on pensions as % of GDP
14.00%
16.00%
18.00%
Elderly cash transfers are critical to
Situation in Indonesia:
reducing inequality
Developed countries’ social expenditure and inequality
R2 = 0.38
Levels of income inequality are high in
Indonesia, with a Gini coefficient of
0.408, measured in 2015
Social expenditure as a % of GDP
35
Den
Fin Bel
Aut Swe
Ger
30
Source: Indonesia Ministry of National Development Planning and the United
Nations Children’s Fund (2017)
Fra
Ita
Spa Por
Slv Nor Ned Ire Gre
UK
Lux
Hun PolNZ Jap
Cze
Swi Est
Can Aus
Slk
Ice
25
20
Global evidence:
EU countries: elderly transfers are
responsible for about half of the
decrease in inequality.
USA
Isr
15
Tur
10
Kor
Brazil: elderly transfers have
contributed to reduced inequality by an
estimated 12%
Chi
Mex
5
0
0.2
0.3
0.4
Gini co-efficient
0.5
0.6
Georgia: social transfers have reduced
the Gini coefficient from 0.41 to 0.36,
Source: ISSA (2013)
All this for an affordable price tag!
5
4.5
4
3.5
3
2.5
2
1.5
1
15
Geor…
Maur…
Suri …
Sey h…
Tri i…
Na i…
Samoa
Sout…
Lesot…
Kosovo
Guya…
Maldi…
Nepal
Kiribati
Cape…
S azi…
Ti o…
Brunei
Parag…
Ho g…
Thail…
Korea
Bots…
E ua…
Viet …
Mexico
Belize
Pa a…
Colo…
Guat…
China
Ba gl…
Peru
Kenya
El…
Fiji
India
Mala…
Philip…
Ja ai…
0.5
0
If Indonesia spent .19% of GDP, it could introduce an elderly transfer of 300,000
IDR for everyone over the age of 70!
Percentage of GDP
Social pensions: an increasingly popular policy
16
Agenda
• Why are cash transfers for the elderly important?
• Global evidence from elderly cash transfers
• ASLURETI: description of beneficiaries
• Indonesia’s example: ASLURETI (Impacts of ASLURETI)
17
High-Risk Elderly Social Assistance Program
(ASLURETI)
• Started in 2015 and provides ALL beneficiaries over the age of 70 with a regular
cash transfer in Aceh Jaya (2,709 beneficiaries)
• “All the elderly in Aceh Jaya are vulnerable and often neglected, even if they
live in better off households. We have a responsibility to ensure the dignity and
well-being of every elderly person, not just those from the poorest households.”
• 200,000 IDR a month – budget envelope of 6.5 M
18
Most are widows, and don’t have support from
spouses
100%
Percentage of Respondents
90%
80%
22%
2%
56%
70%
60%
91%
50%
40%
2%
76%
30%
42%
20%
10%
3%
6%
0%
Male
Female
Married
Divorced
Total
Widowed
• 17% of beneficiaries are disabled (22% of women; 12% of men)
• 90% claim that the transfers from other households/family is inadequate;
• 6% live alone with no support at all
19
Most are uneducated and illiterate (women
more than men)…
Percentage of Respondents
0%
Male
10%
20%
30%
25
40%
50%
60%
43
Female
41
80%
90%
100%
24
57
Total
70%
5
30
36
12
18
No School
Not Completed Elementary School
Completed Elementary School
Completed Junior High School
Completed Senior High School
Attended University
11
10
3 10
• 77% of beneficiaries have no schooling, or just some elementary schooling (87%
are women).
• As a result, 74% of female beneficiaries are illiterate (as compared to 37% of men)
• Only 3% completed schooling higher than elementary school
20
As a result, economic opportunities for the
elderly are limited…
100%
6%
90%
80%
26%
34%
70%
60%
50%
94%
40%
30%
74%
66%
20%
10%
0%
Male
Female
Monthly Income 1 Million
• 40% of beneficiaries must work to support themselves, despite frail health and
limited opportunities
• Most are engaged in farming, fishing, and are casual labors (difficult working
conditions and no long-term security)
21
Most are in need of social protection, but have
limited access…
22
…And most felt that ASLURETI was the SP
scheme that benefited them the most…
1%1%1%
9%
13%
54%
21%
ASLURETI
JKN/BPJS
Free Electricity
Rastra
Scholarship (BOS)
Home Renovation
Other
• 54% of beneficiaries valued ASLURETI the most
• 21% benefited most from JKN
• 13% from the free electricity program, and 9% from RASTRA
23
Agenda
• Why are cash transfers for the elderly important?
• A description of ASLURETI beneficiaries
• Impacts of ASLURETI
• Global evidence from elderly cash transfers
24
A small transfer of 200,000 IDR makes a big
impact…
2%
4%
5%
27%
3%
11%
12%
22%
Social / Religious / Fun / Other
Productive enterprise and savings
Health expenses
15%
Pay debt
Buy Meat
Buy food/goods for themselves
Transportation
Pay school fees/pocket money for grandchildren
Buy food/goods for the family
• Nearly 50% of the transfers are spent on food/goods for themselves and their
families (meat; soap; clothes; rice)
• 15% on health expenses; and 12% on school fees/pocket money for grandkids
25
ASLURETI has improved healthcare access
for the elderly…
• 75% of beneficiaries have better access to healthcare
• 20% of the ASLURETI income goes to pay for transport to health centres; and
to purchasing medicine and doctors visits not covered by JKN
“Our health is everything. If we are healthy, we can do anything…Before
[ASLURETI], I used to feel guilty asking my children to take me to the doctor…but
now, I give them some money for motorbike fuel, and I contribute some money
for my medicines…Now I don’t feel guilty, and I go to the doctor when I need…”
• 70% experienced improvements in their emotional health due to improved
relations with their family, greater sense of independence, and being able to
contribute to their community
26
ASLURETI has improved household
relationships….
• 81% claim that they are happier because they can contribute to theirs, and their
family’s needs
• Most of the elderly claimed to have strained relationships with their children/inlaws because they are seen as an economic burden. ASLURETI is changing
this:
“Before, I used to always ask my daughter-in-law for money. I hated asking
her. But now, she is happy because I can occasionally buy meat for the family
. Sometimes, she borrows money from me for her small shop…without me,
she could not run her business.”
• As a result, 91% of beneficiaries feel greater dignity and autonomy
27
Especially those with their grandkids…
• Purchasing gifts for relatives –esp.
grandchildren - strengthens important
social bonds
• Nationally, the elderly have always
been important contributors for
younger generations, but this has
been declining (TNP2K, 2014)
• ASLURETI beneficiaries spend 12%
of their income for their grandchildren
through:
• School Fees
• Pocket money
• Lending money for employment
seeking or transport costs
• Purchasing meat, eggs, milk, etc
ASLURETI has improved the elderly’s status
in the community…
• 85% of respondents agreed that the ASLURETI program improved their status
and engagement within their communities.
• They are increasingly able to donate to charities (e.g. mosques, orphanages,
etc.), financially contribute to ceremonies (and thus more readily attend social
events), and provide financial support to a neighbour when in need
“We see that the elderly around here attend more events, and give more to the
mosques and orphanages. Last night I saw an elderly couple at a wedding, and
normally they would decline, as they’d be unable to contribute. Sometimes they
can only gift IDR 30,000, but the point is that they are more active now, and we all
notice this.”
29
ASLURETI is stimulating the local
economy….
• Beneficiaries visit warungs more
often. They purchase coffee,
sugar, eggs, milk and rice – BY
THEMSELVES.
• They can repay their debt – so
shopkeepers sell to them on
credit since ASLURETI
• Beneficiaries putting money away
for their own funeral costs, and
future emergencies
• Most are still active – ASLURETI
helps them to engage in paid
work that suit them the best
And, it improves the lives of caregivers…
• 80% of caregivers feel that their
lives have improved since
receiving ASLURETI
• 60%) feel that they now have
more time for themselves;
• 58% claim that they can focus
more of their resources on their
children;
• 65% state that the household eats
better because of ASLURETI
If you forget everything else…
Indonesia is an aging society. There are currently 22 million elderly
people. By 2050, more than 20% of the population will be over the age of
65.
Indonesia is the only country left in Asia that relies fully on contributory
pensions – which most of the elderly can’t access
Cash transfers for the elderly WILL reduce poverty and inequality, and
IT IS AFFORDABLE
They would not just benefit the elderly. They would benefit EVERYONE.
32
Terima Kasih
elderly: to reduce poverty
and stimulate the economy
22 August 2017
Agenda
• Why are cash transfers for the elderly important?
• Global evidence from elderly cash transfers
• A description of ASLURETI beneficiaries
• Impacts of ASLURETI
2
Agenda
• Why are cash transfers for the elderly important?
• ASLURETI: An example of a successful elderly cash transfer in
Indonesia
• A description of ASLURETI beneficiaries
• Impacts of ASLURETI
• Global evidence from elderly cash transfers
3
•
•
•
•
Stunting
Cognitive development reduced
Miss out on immunization
No access to ante-natal and
post-natal care
• Loss of parental care from
bereavement or migration
•
•
•
•
Early
Childhood
Increasing frailty
Inability to work
No care from family
Discrimination in labor
force
Limited access to credit
•
Old Age
•
•
•
•
•
•
•
Unemployment and
underemployment
Inadequate wages
Debt
Need to care for
children and parents
No childcare
Gender discrimination
Domestic violence
•
•
•
•
Child labour
No access to school
Malnutrition
Loss of parental care from
bereavement or migration
School
Age
COVARIATE
AND HEALTH
SHOCKS
•
•
•
•
•
Working
Age
Youth
DISABILITY AND
CHRONIC ILLNESS
Inadequate skills
Unemployment
Inability to access
training
Allienation
Early motherhood
Key economic challenges of old age:
• Increased challenges to earning an income
• Increased expenditures (health and care)
5
… ut older people do ’t li e o a isla d
6
Most older people are part of
complex family and kinship networks
In absence of social protection,
older people are often net
recipients of financial support
and care from children…
…although this support may be
limited, and puts financial
pressure on others….
7
Pensions provide support to wider
family and kinship networks
Rp.
Pension income can allow older
people to be net contributors
to their families.
• Boosts dignity and
autonomy
• Improves situation of
families
8
Agenda
• Why are cash transfers for the elderly important?
• Global evidence from elderly cash transfers
• A description of ASLURETI beneficiaries
• Impacts of ASLURETI
9
Elderly cash transfers improve the future labor
force: reduced stunting
Percentage of children under age 5 with stunted growth, by province in Indonesia
Children who are stunted are likely to earn
26 per cent less as adults if they had
reached their full development potential
South Africa: households with Old Age
Grant recipients resulted in a 5 cm
increase in height-for-age of children
Uganda: the old age grant has contributed
to an increase in the weight-for-height of
children of 0.86 s.d.
Over 37 per cent of children under age 5 were stunted
in 2013, which amounted to roughly 8.4 million children
nationwide.
Elderly cash transfers contribute to the future labour
force: improved education
Percentage of children and youth attending school by age and by type of education, 2015
• South Africa: households that received
an Old Age Grant had a 25% reduction
in the share of children not enrolled in
school Source: Samon et al. (2004)
• Uganda: The SAGE program
contributed to a 14% increase in the
proportion of children attending primary
and secondary school Source: Kidd et al. (2016)
• Bolivia: school enrolment is 8
percentage points higher in old age
transfer households Source: Mendizabal and Escobar
(2013)
56% of youth in Indonesia complete senior secondary
education
Source: Indonesia Ministry of National Development Planning and the United Nations Children’s Fund
(2017)
• China: the Old Age Transfers have
reduced delayed education among
younger girls and dropout rates among
older girls Source: Huang and Zhang (2016)
Elderly cash transfers
help people invest in
small businesses and
generate income
• The Senior Citizen’s Grant in Uganda has contributed to
a 77% increase in beneficiaries purchasing livestock and
a 42% increase in the value of livestock purchased
• In a study in Swaziland, 19% of old age transfer
recipients stated they were able to grow more crops as
they could buy afford more seeds, fertilisers, hire of
tractors, purchase manure and buy petrol for water
pumps (RHVP et al., 2010).
• Food consumption among rural beneficiaries of the
elderly cash transfer in Bolivia rose by almost 165% of
the transfer value due to investments in agricultural
inputs and livestock (HLPE, 2012 as cited in Holmes &
Bhuvanendra, 2013)
12
12
…And have been proven to reduce
poverty
Relationship between reductions in poverty in OECD countries
after social transfers with cash transfer expenditure
Reduction in old age (65+) poverty rate (%) before and after
social transfers
100%
Iceland
90%
80%
Netherlands Luxembourg
Czech-…
Hun…
Ireland Norway Slovak Republic
Finland Germany
Canada Denmark
BelgiumSpain Poland
New Zealand Estonia Sweden
Slovenia
In Georgia, 69% of the
reduction in child poverty
is the result of its
universal old age cash
transfer
France
Portugal Greece
Italy
Austria
United Kingdom
Japan
70%
United States
60%
Switzerland
Israel
Australia
Chile
50%
40%
Turkey
30%
20%
Mexico
Korea
10%
0%
0.00%
2.00%
4.00%
6.00%
8.00%
10.00%
12.00%
National spending on pensions as % of GDP
14.00%
16.00%
18.00%
Elderly cash transfers are critical to
Situation in Indonesia:
reducing inequality
Developed countries’ social expenditure and inequality
R2 = 0.38
Levels of income inequality are high in
Indonesia, with a Gini coefficient of
0.408, measured in 2015
Social expenditure as a % of GDP
35
Den
Fin Bel
Aut Swe
Ger
30
Source: Indonesia Ministry of National Development Planning and the United
Nations Children’s Fund (2017)
Fra
Ita
Spa Por
Slv Nor Ned Ire Gre
UK
Lux
Hun PolNZ Jap
Cze
Swi Est
Can Aus
Slk
Ice
25
20
Global evidence:
EU countries: elderly transfers are
responsible for about half of the
decrease in inequality.
USA
Isr
15
Tur
10
Kor
Brazil: elderly transfers have
contributed to reduced inequality by an
estimated 12%
Chi
Mex
5
0
0.2
0.3
0.4
Gini co-efficient
0.5
0.6
Georgia: social transfers have reduced
the Gini coefficient from 0.41 to 0.36,
Source: ISSA (2013)
All this for an affordable price tag!
5
4.5
4
3.5
3
2.5
2
1.5
1
15
Geor…
Maur…
Suri …
Sey h…
Tri i…
Na i…
Samoa
Sout…
Lesot…
Kosovo
Guya…
Maldi…
Nepal
Kiribati
Cape…
S azi…
Ti o…
Brunei
Parag…
Ho g…
Thail…
Korea
Bots…
E ua…
Viet …
Mexico
Belize
Pa a…
Colo…
Guat…
China
Ba gl…
Peru
Kenya
El…
Fiji
India
Mala…
Philip…
Ja ai…
0.5
0
If Indonesia spent .19% of GDP, it could introduce an elderly transfer of 300,000
IDR for everyone over the age of 70!
Percentage of GDP
Social pensions: an increasingly popular policy
16
Agenda
• Why are cash transfers for the elderly important?
• Global evidence from elderly cash transfers
• ASLURETI: description of beneficiaries
• Indonesia’s example: ASLURETI (Impacts of ASLURETI)
17
High-Risk Elderly Social Assistance Program
(ASLURETI)
• Started in 2015 and provides ALL beneficiaries over the age of 70 with a regular
cash transfer in Aceh Jaya (2,709 beneficiaries)
• “All the elderly in Aceh Jaya are vulnerable and often neglected, even if they
live in better off households. We have a responsibility to ensure the dignity and
well-being of every elderly person, not just those from the poorest households.”
• 200,000 IDR a month – budget envelope of 6.5 M
18
Most are widows, and don’t have support from
spouses
100%
Percentage of Respondents
90%
80%
22%
2%
56%
70%
60%
91%
50%
40%
2%
76%
30%
42%
20%
10%
3%
6%
0%
Male
Female
Married
Divorced
Total
Widowed
• 17% of beneficiaries are disabled (22% of women; 12% of men)
• 90% claim that the transfers from other households/family is inadequate;
• 6% live alone with no support at all
19
Most are uneducated and illiterate (women
more than men)…
Percentage of Respondents
0%
Male
10%
20%
30%
25
40%
50%
60%
43
Female
41
80%
90%
100%
24
57
Total
70%
5
30
36
12
18
No School
Not Completed Elementary School
Completed Elementary School
Completed Junior High School
Completed Senior High School
Attended University
11
10
3 10
• 77% of beneficiaries have no schooling, or just some elementary schooling (87%
are women).
• As a result, 74% of female beneficiaries are illiterate (as compared to 37% of men)
• Only 3% completed schooling higher than elementary school
20
As a result, economic opportunities for the
elderly are limited…
100%
6%
90%
80%
26%
34%
70%
60%
50%
94%
40%
30%
74%
66%
20%
10%
0%
Male
Female
Monthly Income 1 Million
• 40% of beneficiaries must work to support themselves, despite frail health and
limited opportunities
• Most are engaged in farming, fishing, and are casual labors (difficult working
conditions and no long-term security)
21
Most are in need of social protection, but have
limited access…
22
…And most felt that ASLURETI was the SP
scheme that benefited them the most…
1%1%1%
9%
13%
54%
21%
ASLURETI
JKN/BPJS
Free Electricity
Rastra
Scholarship (BOS)
Home Renovation
Other
• 54% of beneficiaries valued ASLURETI the most
• 21% benefited most from JKN
• 13% from the free electricity program, and 9% from RASTRA
23
Agenda
• Why are cash transfers for the elderly important?
• A description of ASLURETI beneficiaries
• Impacts of ASLURETI
• Global evidence from elderly cash transfers
24
A small transfer of 200,000 IDR makes a big
impact…
2%
4%
5%
27%
3%
11%
12%
22%
Social / Religious / Fun / Other
Productive enterprise and savings
Health expenses
15%
Pay debt
Buy Meat
Buy food/goods for themselves
Transportation
Pay school fees/pocket money for grandchildren
Buy food/goods for the family
• Nearly 50% of the transfers are spent on food/goods for themselves and their
families (meat; soap; clothes; rice)
• 15% on health expenses; and 12% on school fees/pocket money for grandkids
25
ASLURETI has improved healthcare access
for the elderly…
• 75% of beneficiaries have better access to healthcare
• 20% of the ASLURETI income goes to pay for transport to health centres; and
to purchasing medicine and doctors visits not covered by JKN
“Our health is everything. If we are healthy, we can do anything…Before
[ASLURETI], I used to feel guilty asking my children to take me to the doctor…but
now, I give them some money for motorbike fuel, and I contribute some money
for my medicines…Now I don’t feel guilty, and I go to the doctor when I need…”
• 70% experienced improvements in their emotional health due to improved
relations with their family, greater sense of independence, and being able to
contribute to their community
26
ASLURETI has improved household
relationships….
• 81% claim that they are happier because they can contribute to theirs, and their
family’s needs
• Most of the elderly claimed to have strained relationships with their children/inlaws because they are seen as an economic burden. ASLURETI is changing
this:
“Before, I used to always ask my daughter-in-law for money. I hated asking
her. But now, she is happy because I can occasionally buy meat for the family
. Sometimes, she borrows money from me for her small shop…without me,
she could not run her business.”
• As a result, 91% of beneficiaries feel greater dignity and autonomy
27
Especially those with their grandkids…
• Purchasing gifts for relatives –esp.
grandchildren - strengthens important
social bonds
• Nationally, the elderly have always
been important contributors for
younger generations, but this has
been declining (TNP2K, 2014)
• ASLURETI beneficiaries spend 12%
of their income for their grandchildren
through:
• School Fees
• Pocket money
• Lending money for employment
seeking or transport costs
• Purchasing meat, eggs, milk, etc
ASLURETI has improved the elderly’s status
in the community…
• 85% of respondents agreed that the ASLURETI program improved their status
and engagement within their communities.
• They are increasingly able to donate to charities (e.g. mosques, orphanages,
etc.), financially contribute to ceremonies (and thus more readily attend social
events), and provide financial support to a neighbour when in need
“We see that the elderly around here attend more events, and give more to the
mosques and orphanages. Last night I saw an elderly couple at a wedding, and
normally they would decline, as they’d be unable to contribute. Sometimes they
can only gift IDR 30,000, but the point is that they are more active now, and we all
notice this.”
29
ASLURETI is stimulating the local
economy….
• Beneficiaries visit warungs more
often. They purchase coffee,
sugar, eggs, milk and rice – BY
THEMSELVES.
• They can repay their debt – so
shopkeepers sell to them on
credit since ASLURETI
• Beneficiaries putting money away
for their own funeral costs, and
future emergencies
• Most are still active – ASLURETI
helps them to engage in paid
work that suit them the best
And, it improves the lives of caregivers…
• 80% of caregivers feel that their
lives have improved since
receiving ASLURETI
• 60%) feel that they now have
more time for themselves;
• 58% claim that they can focus
more of their resources on their
children;
• 65% state that the household eats
better because of ASLURETI
If you forget everything else…
Indonesia is an aging society. There are currently 22 million elderly
people. By 2050, more than 20% of the population will be over the age of
65.
Indonesia is the only country left in Asia that relies fully on contributory
pensions – which most of the elderly can’t access
Cash transfers for the elderly WILL reduce poverty and inequality, and
IT IS AFFORDABLE
They would not just benefit the elderly. They would benefit EVERYONE.
32
Terima Kasih