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PRESS RELEASE June 26, 2019

Eight Million Children to Benefit from Improved School Management and Education Quality in Indonesia

WASHINGTON D.C., June 26, 2019 – The World Bank’s Board of Executive Directors approved today a US$250 million loan to support improvements to Indonesia’s primary and secondary education schools under the Ministry of Religious Affairs (MORA).

With the fourth-largest education system in the world, Indonesia provides education services through the Ministry of Education and Culture (MOEC) and MORA for 53 million students in public and private schools. Approximately 15 percent of the country’s primary and secondary students – about 8 million children – attend religious schools under MORA. These schools follow the national curriculum, and enroll more children from the poorest families in rural areas.

Students under MORA schools would benefit from better measurement of school performance and their own educational attainment. Supported by the new loan, the government’s Realizing Education’s Promise project will address these constraints by deploying (a) a nationwide and electronic planning and budgeting system to promote more efficient spending by MORA resources, and (b) a school grant system to improve MORA students’ performance in the National Education Standard testing, especially for resource-constrained schools.

To measure results, the project will support the implementation of a 4th grade student assessment nationally at MORA schools. The project will also finance training for education personnel in order to support improved teaching and learning in MORA’s schools. Finally, the project will also invest in data collection and analysis to improve MORA’s management of its schools.  

Ultimately the project will help Indonesia realize the promise of better education by supporting improvements in teaching, learning and education system management. This investment is expected to accelerate the government’s desire to improve the country’s human capital.

“The government of Indonesia has made human capital development a top priority. Efforts to help religious school students attain better results are key to achieving that goal and will help ensure all Indonesian children receive quality education,” said Prof. Dr. Kamaruddin, Director General of Islamic Education for the Ministry of Religious Affairs. “With this project, ultimately around eight million primary and secondary school students will benefit from improved school management, education data systems and teaching and learning processes,” he also said.

This project is an important component of the government of Indonesia’s efforts to strengthen human capital and improve the quality of its education system. Improving the quality and efficiency of all education spending is crucial.” said Rodrigo A. Chaves, World Bank Country Director for Indonesia and Timor-Leste. “Finding ways for schools to better spend available funds is essential to help Indonesian children obtain improved education outcomes, making these young people more successful in the labor market,” he added.

The World Bank’s support for education and human capital is an important component of the World Bank Group’s Country Partnership Framework for Indonesia, which focuses on government priorities that have potentially transformational impact.

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Nick Keyes