Indonesia Subnational Public Expenditure Review in Education

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00:01 Effective and efficient subnational public expenditure in education is key

00:05 for Indonesia to realize its human capital development goals.

00:10 Little information is available to help

00:12 understand how subnational governments conduct planning,

00:15 allocation,

00:16 and execution of their education budgets.

00:19 The Subnational Public Expenditure Review report analyses

00:23 data from the Ministry of Finance,

00:25 the Ministry of Education and Culture,

00:27 and detailed budget data collected from

00:29 27 districts and cities throughout Indonesia.

00:33 The survey answers the following questions about subnational governments.

00:38 How do subnational governments conduct planning and budgeting?

00:42 How much do provincial,

00:43 district,

00:44 and city governments allocate to education?

00:47 How do subnational governments report their education expenditures?

00:52 How are resources actually spent on education at the district and city level?

00:58 How do subnational education budgets impact

01:01 school conditions and student outcomes?

01:04 Our recommendations to improve the effectiveness and efficiency

01:07 of subnational public expenditure in education are.

01:12 Reassess the financial and technical capacity of districts

01:15 and cities to deliver quality education services.

01:19 Ensures sufficient allocation of non-salary budget,

01:22 which is often less prioritized despite

01:24 its importance for improving learning outcomes.

01:28 Consolidate and prioritize a small number of

01:31 effective programs that raise student learning outcomes.

01:35 Upgrade and standardize budget classifications to ensure the

01:38 availability and quality of necessary information to track

01:42 and evaluate progress and support decision making by

01:45 both subnational governments and the central government.

01:49 Leverage technology to collect,

01:52 integrate and analyze financial,

01:54 administrative,

01:55 and outcomes data to strengthen accountability.

01:59 For more information,

02:00 visit www.worldbank.org/Indonesia.

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Effective and efficient subnational public expenditure in education is key for Indonesia to realize its human capital development goals. Little information is available to help understand how subnational governments conduct planning, allocation, and execution of their education budgets. The Subnational Public Expenditure Review report analyses data from the Ministry of Finance, the Ministry of Education and Culture, and detailed budget data collected from 27 districts and cities throughout Indonesia. The survey answers the following questions about subnational governments. How do subnational governments conduct planning and budgeting? How much do provincial, district, and city governments allocate to education? How do subnational governments report their education expenditures? How are resources actually spent on education at the district and city level? How do subnational education budgets impact school conditions and student outcomes? Our recommendations to improve the effectiveness and efficiency of subnational public expenditure in education are. Reassess the financial and technical capacity of districts and cities to deliver quality education services. Ensures sufficient allocation of non-salary budget, which is often less prioritized despite its importance for improving learning outcomes. Consolidate and prioritize a small number of effective programs that raise student learning outcomes. Upgrade and standardize budget classifications to ensure the availability and quality of necessary information to track and evaluate progress and support decision making by both subnational governments and the central government. Leverage technology to collect, integrate and analyze financial, administrative, and outcomes data to strengthen accountability. For more information, visit www.worldbank.org/Indonesia.

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