Capacity Building for Public Sector on Domestic SDGs Implementation, presented in Brasilia, Brazil, 27 February 2018

1. Capacity Building for the Public
Sector on Domestic SDGs
Implementation in Indonesia
Yogi Suwarno
Vice Director for Academic Affairs
National Institute of Public Administration
Brasilia, 27 February 2018

2. Content
• Indonesia at a glance
• Policy structure and institutional arrangement of SDGs
• Nawacita and SDGs alignment
• Nation-wide training system to build capacity of civil servants

3. Population
1.913.578,68 km2
34
provinces
Geography
416 districs
98 cities
11,66
11,47
10,96
11,13
10,7
10,12
9
9,5
10
10,5
11
11,5
12
2012 2013 2014 2015 2016 2017
Percentage of Poor People (%)
67,7
68,31
68,9
69,55
70,18
66
66,5
67
67,5
68
68,5
69
69,5
70
70,5
2012 2013 2014 2015 2016
HDI
17.504
islands
Inflation (Jan, 2018): 0,62
Economic Growth (Fourth Quarter, 2017): 5,19%
Gini Ratio (Sep, 2017): 0,391
Unemployment Rate (Agt, 2017): 5,5%
258,7 million
(projection 2016)
Demographic bonus’
in 2020-2040
Indonesia

4. Facts
• 4.455.303 civil servants
• 2.288.631 male
• 2.166.672 female
• Decentralization
• Social, cultural, ethnic background

5. Best Performers of MDGs
• Achieving MDGs indicators 2013-2015
• Jakarta, Bali, Gorontalo
• Eradicating poverty 2013-2015
• South-east Sulawesi, Maluku, West Papua
• Achieving MDGs progress 2013-2015
• NTB, Gorontalo, Aceh
• Achieving highest MDGs achievement 2015
• Jakarta, Bali, Yogyakarta

6. Key Government Actors
• President’s Office
• Identifying strategic issues
• Public communication
• National Development Planning Agency
• National and regional planning
• Drafting annual budget with MoF
• Ministry of Bureaucratic Reform
• Bureaucratic reform policies
• Supervision, coordination, monitoring and evaluation of all civil service matters
• Ministry of Finance
• Managing financial and state assets

7. Development Planning System
• Long term (20 years), medium-term (5 years), and short-term (1-year)
Development Plans,
• The RPJMN 2015 – 2019 has integrated various topics discussed in the
2030 Agenda and encompasses three development dimensions,
• social development
• economic development, and
• environmental development, and supported by
• the provision of access to justice and good governance
• The fundamental transformation of SDGs is the environmental
friendly internalization and sustainable human development into the
economic development and sustainable livelihoods.

8. Nawacita
• Returning the state to its task of protecting all citizens and providing a safe
environment
• Developing clean, effective, trusted and democratic governance
• Developing Indonesia’s rural areas
• Reforming law enforcement agencies
• Improve quality of life
• Increasing productivity and competitiveness
• Promoting economic independence by developing domestic strategic
sectors
• Overhauling the character of the nation
• Strengthening the spirit of “unity in diversity” and social reform

9. SDGs
Mid-term
Planning
Nawacita
2015-2019
poverty, health, education,
gap, water and sanitation,
energy access
gender, inclusive economic
growth, job, sustainable
production& concumption
pattern
UNDP 2015

10. Recent Development
• Presidential Regulation 57/2017
• Government to adopt 169 SDGs indicators to the 2020-2025 mid-term
planning
• Integrating SDGs into the previous 2015-2019 mid-term planning, 94
out of 169 achieved
• Institutionalizing SDGs agenda into national development program
• Agencification, SDGs Coordination Team

11. Steering council
• President
• Vice President
• Coordinating Minister of
Economy
• Coordinating Minister of PMK,
and
• Coordinating Minister of
Maritime
Members
• National Planning Agency
• Foreign Affairs Minister
• State Affairs Minister
• Finance Minister
• State-owned companies Minister
• Cabinet Secretary, and
• Head of President’s office.

12. • Road Map of SDGs 2016-2030 (12 months after the enactment);
• National Action Plan (RAN) of SDGs 2016-2019 (6 months after the
enactment);
• Local Action Plan (RAD) SDGs 2016-2019 (12 months after the
enactment)

13. • High-level of decentralization
• Decision made at local level
• Riau Governor Decree No: Kpts.187 / II / 2017 on the establishment
of ‘Sub-national Coordination Team’ for the Implementation of
Sustainable Development Goals in Riau Province Year 2017-2019.

14. Current progress
• Civil Society Organization (CSO): Koalisi Masyarakat Sipil untuk SDGs.
• Local governments start to prepare technical and regulation support:
Kabupaten Bojonegoro, Kabupaten Pangkep serta Lampung Timur and
Wonosobo
• Universities: Universitas Gadjah Mada Yogyakarta, Universitas Katolik
Widya Mandira Kupang, Universitas Hasanuddin Makassar,
Universitas Islam Negeri Sunan Kalijaga Yogyakarta, Universitas Katolik
Soegijapranata Semarang, Universitas Negeri Sebelas Maret
Surakarta.

15. Leadership
Traininig
Function/Position
-based Training
Pre-service
Training
Skill-based
Training
• Fostered by respective
institutions
• Target : JF
• Single and hierarchical
• Organizer : Ministries
and accredited training
institutions
• Fostered by NIPA
• Target : civil servant
candidates
• Single
• Organizer : Ministries and
accredited training
institutions
• Fostered by respective
institutions
• Target : all civil servants, need-
based
• Single and hierarchical
• Organizer : Ministries and
accredited training institutions
• NIPA as the fostering
institution
• Target : High-ranking
officials I to IV
• Hierarchical (LT I to IV)
• Organizer : Ministries and
accredited training
institutions
Capacity Building in Public Sector

16. NIPA
Standard of LT and Pre-
service training
Ministries/ Agencies
(Standard of Skill-based
and function-based
training
Ministries/ Agencies
(Standard of Skill-based
and function-based
training
Ministries/ Agencies
(Standard of Skill-based
and function-based
training
District/
City
Training Centre at
Province
Training Centre at
Province
District/
City
District/
City
District/
City
District/
City
District/
City

17. Law No 5/2014 on Civil Service & Govt Reg
11/2017
• Reform on Civil Service Management
• Merit system : Qualification, Competency, and Performance
• Single system : United system of central and local civil service
• Civil service position : Senior Executive, Administration, Functional
• Civil service competencies : Technical, Managerial, and Socio-cultural
• Competency development requirement for civil service: minimum
20 hours per person per year

18. Civil Service Competencies
Core
Competencies
Description
Managerial
Knowledge, skill, and behaviour of civil service that
can be measured and developed to lead or manage
their organisation (unit of organisation)
Technical
Knowledge, skill, and behaviour of civil service that
can be measured and developed to do the required
technical job.
Socio-Cultural
Knowledge, skill, and behaviour of civil service that
can be measured and developed in dealing with
diversity (religion, race, culture, norm, values etc) to
do required job (relevant to the kind and job level )

19. Mandate of Law No 5 of 2014
Mandate of Government
Regulation No.11 of 2017
Bureaucratic Reform Grand Design:
“world-class bureaucracy”
Civil Service:
central and
local
Competence Development for Indonesian
Civil Service

20. Civil Service
Candidates
Lower
Administrator
& Superviisor
EXECUTIVE CIVIL SERVICE
Senior
Executive
Senior
Executive
FUNCTIONAL
POSITION
Middle 1
Prime
Middle 2
Pre-service
training
program
Level III
& IV
Level II
Level I
Level I
Managerial
Technical
Social & Cultural
Civil Service Training in Civil Service Career
System
Function/
position-based
Training Program
In Service
Training
Program

21. Civil Service Candidates : Rank I
Civil Service Candidates : Rank II
Civil Service Candidates : Rank III
Professional
Civil service at
central and local
government
Pre service Training

22. Agenda I: Behaviour
Development
Agenda II: Civil Service
Values & Code of
Conduct
Agenda III: Role of Civil Service
in Government System of
Indonesia
Agenda IV
Habituation
(Off Campus)
Final
Evaluation
Professional
Civil service
Program Orientation
Technical Competencies Development
Character Building
Total : 118 days
On campus : 33 days
Off Campus : 80 days
Integrated Pre-service Training Program

23. Competency Development for Civil Service
Managerial competency
Technical competency
Socio-Cultural competency
Government
employees:
central and
local

24. Training Policies for Managerial Competency
Managerial
competency
Leadership training for Senior
Executive (Echelon I)
Leadership training for Executive
(Echelon II)
Leadership training for
supervisor (Echelon IV)
Leadership training for
Administrator (Echelon III)

25. Stage I
Change
Diagnose
Stage II
Breakthrough 1:
Taking Ownership
Stage III
Change
planning &
Coallition
buliding
Stage IV
Breakthrough 2:
Leadership
Laboratory
Leader of
change
Stage V
Evaluation
Total : 4-6 months
On and off campus
Leadership Training Program

26. Technical
competency
Developed by Ministries or Non
Ministrial Agencies
Needed by Civil Servant to do
the Job
Delivered by accredited government or
non-government training center
Training Policies for Technical Competencies

27. We train and connect the apparaturs for...
Understanding
national &
Global
challendge
Human capital
better
performanace
Program
Evaluating
Buerocratic
Reform
Nurturing
Innovative
Spirit
Facilitating
Networking
Sharing
Knowledge
Advocating
FUNCTIONS OF OUR TECHNICAL AND FUNCTIONAL TRAINING CENTRE

28. Current training by NIPA
• Functional Programs for National Trainers
• Functional Programs for National Policy Analysts
• Reform Leader Academy (to support Reform Agenda)
• Mental Revolution Training Program for National Apparatus
• Technical Trainings (Report Writing, Academic Paper
Writing, Managing Training Program, and Conducting Training
Program)
• Green Growth Economy, in cooperation with GGGI (in progress)

29. Designing Actin Plan on BR
• Concept and Policies on BR (15 JP)
• Change Target (18 JP)
• Stakeholders coalition (18 JP)
• Benchmarking (54 JP)
• Action Plan on National BR (18 JP)
• Action Plan on Institutional BR (9 JP)
• Seminar on Action Plan (20 JP)
• Implementation of National Action Plan (20 JP)
Implementation of BR Action
Plan (OFF CAMPUS)
Action consolidation and Evaluation:
•Introduction to Evaluation and Seminar Preparation(3 JP)
•Preparation for BR Action Result Seminar (20 JP)
•BR Action Result Seminar(20 JP)
•Consolidation on BR Action (36 JP)
•National BR Action Campaign Nasional (36 JP)
Building Capacity on Leadership and
Change Management :
•Overview (3 JP)
•Concept and Policies of BR (3 JP)
•Introduction (3 JP)
•Collective Capabilityf (12 JP)
•Sinergistic Leadership (9 JP)
•Transformational Leadership (9 JP)
•Change Management (9 JP)
•Public Sector Innovation (9 JP)
•The role of Agent of Change (9 JP)
Pre-Training
AGENDA I ON CAMPUS KLASIKAL
(5 weeks)
AGENDA II OFF CAMPUS
(3 months = 60 working days)
AGENDA III ON CAMPUS (6 days)
Choosing
strategic issues
Leadership Cacpacity &
Change Management
Designing Action Plan on
Bureaucratic Reform
Implementing Action Plan on
Bureaucratic Reform
Action consolidation and
Evaluation
Total (119 days)
On Campus (29 days)
Off Campus (60 days)
Reformers
NationalandInstitutional
ChangeActionAgenda
AgendaLeadershipand
ChangeManagement
1
2
3
4
5
Reform Leader Academy Curriculum
1.Choosing topics
2.Participants and working units
3.Developing learning materials
4.Developing commitment of
participant’s Supervisor

30. Training Policies for Socio-cultural competency
Socio-
Cultural
competency
Dealing with Social/cultural diversity :
religion, race, culture, norm, values etc
Could be embedded within
technical or managerial training
program or specifically designed
as social/cultural training program
Delivered by accredited Government or
non-government training center

31. TQM on Civil Service Training
Quality standard (regulation,
program, curriculum, module)
Quality assurance (accreditation of
training institution and certification of
trainer )
Quality control (SIDA, MONEV. of
training delivery)
NIPA

32. The Practice of Civil Service Training
in Sub National Level
NIPA as the training fostering
institution
Accredited local government Training
centers as the implementing institution
of training and quality control
Non accredited local government as
the venue of training delivery

34. Islamic finance
• Asset: USD 3 trillion by 2020.
• Financing SDGs would spend USD 7 trillion/year
• Similarity between zakat and SDGs, wealth distribution
• Aligning zakat with SDGs

35. The role of Zakat
• “Potensi zakat umat Islam mencapai hampir Rp 217 triliun. Jumlah itu
hampir sama dengan penerimaan negara bukan pajak (PNBP) Non-tax state
revenue per tahun, yang mencapai 10 persen anggaran pemerintah. Badan
Amil Zakat Nasional (Baznas) baru mampu mengumpulkan 2 persen atau
Rp5 triliun dari keseluruhan potensi itu.
• Fiqh Zakat on SDGs: changing paradigm from the helped one to the helping
one.
• Di Indonesia, zakat berpotensi menyumbang 32 miliar dolar AS per tahun
atau sekitar 3,4% dari PDB. Saat ini, kontribusi yang disalurkan melalui
BAZNAS hanya 1% dari potensi tersebut. Melalui kesepakatan dengan
UNDP bulan lalu, Baznas adalah badan zakat pertama di dunia yg
berkomitmen untuk mendukung SDGs.

36. • Badan Amil Zakat Nasional (BAZNAS) bulan Juli 2017 sepakat untuk mendukung perluasan akses
listrik ke masyarakat miskin di provinsi Jambi. Kesapakatan ini menandai penyaluran dana zakat
pertama untuk mendukung Tujuan Pembangunan Berkelanjutan (SDGs). Dalam kesepakatan
tersebut, Baznas menyalurkan 350.000 dolar AS ke proyek UNDP untuk menyediakan energi
terbarukan kepada masyarakat miskin pedesaan, melalui pembangunan dua pembangkit listrik
mikrohidro. Sekitar 30 juta orang Indonesia - atau 12 persen dari jumlah penduduk - tidak
memiliki akses listrik yang memadai. Hal ini merupakan kendala utama untuk mencapai SDGs di
Indonesia.
Kesepakatan ini merupakan terobosan dan harus menjadi preseden tentang bagaimana keuangan
Islam pada umumnya dapat memainkan peran lebih besar dalam berkontribusi pada agenda
global 2030. Berkaitan dengan hal ini, minggu ini Kementerian Keuangan RI menyelenggarakan
Konferensi Keuangan Islam Tahunan yang ke 2,’Peran Keuangan Islam untuk mengentaskan
Kemiskinan dan Kesenjangan Pendapatan' (the 2nd Annual Islamic Finance Conference, ‘The Role
of Islamic Finance in Eradicating Poverty and Income Inequality’) di Yogyakarta. Pengentasan
kemiskinan dan kesenjangan sosial ekonomi adalah dua dari 17 SDGs dan merupakan kendala
utama pembangunan berkelanjutan. Delapan orang memiliki kekayaan yang sama dengan
separuh dunia, menurut laporan Oxfam baru-baru ini. Laporan tersebut menambahkan bahwa
kesenjangan mencolok ini menghambat upaya untuk mengakhiri kemiskinan.

38. Issues on aligning zakat and SDGs
• One important issue is to ensure a two-way exchange between zakat and
development organisations. Zakat organisations have much to learn about
the SDGs but equally, development organisations, including the UN, have
much to learn from Islamic finance principles. Zakat should not be seen
solely as additional funds for SDGs. Islamic organisations bring rich
experience, networks and learning.
• The principles behind Islamic finance reflect a concern for financial
stability, financial inclusion, shared prosperity and checks against too much
risk taking.15 Islamic finance instruments like sukuk
• (Islamic bonds) are well suited to making investments in sustainable
agriculture while insurance concepts like takaful (Islamic insurance) can
promote social solidarity and financial inclusion.

39. • At a time when Islam is under fire in some quarters due to its association
with violent extremism (which is not condoned by the vast majority of
Muslims), it is important to look at what the Islamic faith means to
believers and how it contributes to a better society. Islamic organisations
are important partners for development, particularly strong at the
grassroots level.
• A second issue is the perception that the recipients of zakat must be
Muslim. In reality, many zakat organisations do not discriminate between
people based upon their religion as long as they are poor and needy.
Others ensure that if zakat funds are given to Muslims, alternative sources
of funds are given to non-Muslims who are also poor or needy.
• A

40. • A third issue is the need to increase understanding among zakat
organisations on the SDGs. A partnership on SDGs requires getting
buy-in from clerics and Islamic groups. This needs extensive
consultation and awareness-raising. More research is needed on the
overlap between the institution of zakat and SDGs to provide the
necessary evidence for zakat organisations to move forward with the
implementation of the SDGs.

41. • As with all partnerships for the SDGs, coordination with other actors,
including the Government, private sector, philanthropic and civil
society organisations will be important.
• Finally, there is a perception that issues related to gender cannot be
addressed through Islamic or zakat organisations. In practice, zakat is
neutral to gender regarding its payment and receipt. Zakat funds can
be paid to women and the institutions which are responsible for the
well-being of women, such as maternity hospitals and schools. Zakat
organisations often have development programmes that target
women although they do not explicitly address gender inequality.

42. Mainstreaming SDGs

43. • The World Population Day of July 11 this year follows “The Day of Five
Billion” on July 11, 1987 which marked the day the global population
reached five billion people. The commemoration of Population Day
was introduced by the UN General Assembly in 1990 as a means to
raise awareness on population issues including their relations to the
environment and development. Now, almost 30 years later, the world
population has reached 7 billion people, and the problems of
overpopulation are more salient than ever.

44. • In Indonesia, however, the effort to control population growth has
actually been quite successful. In 2016, population growth was 1.14
percent, lower than that of 2015 at 1.19 percent, and lower than the
world’s population growth at 1.18 in 2016. Fertility rate was also
decreasing at 2.44 per woman in 2015, one of the lowest in
Indonesia’s history. This considerable success in population control is
reflected in the projection of the nation’s demographic dividend in
mid 2020s.

45. • A demographic dividend occurs when the number of people of
working age is higher than the number of dependents— that is the
elderly and children. The ratio of the elderly and children to the
working age population, known as the dependency ratio, is low. A low
dependency ratio indicates that potentially more people can be
productive and contribute to the growth of economy, leading
to unprecedented economic growth.

46. • East Asian countries experienced their demographic dividend in the
1950s and 1960s as a result of heavy investment in their youth and
expanded access to voluntary family planning. As a result, South
Korea’s gross domestic product grew by 2,200 percent from 1950 to
2008.
• Decrease in fertility rate, however, is also a mixed blessing. If the
fertility rate keeps dropping while life expectancy keeps rising, the
median age of the population will rise to the point that the number of
elderly will surpass those of productive age. This is the consequence
of few babies and long lives.

47. • An ageing population will again increase the number of dependents
that our society needs to support. Unlike spending on children and
youths, spending on the elderly will not yield economic returns. This
of course will increase the spending needed to support them through
higher pension funds, healthcare spending, and care-giving
services. This can result in an inter-generational conflict and put
excessive pressure on the economy.
• It will create a vicious cycle in which the increase in pension and
healthcare spending will drain the investment on children’s and
youth’s education, which will lead to decrease in skilled workers,
which in turn would reduce tax income and further worsen
insufficient pension funds and healthcare spending.

48. • As such, the incoming demographic dividend is both an opportunity
and a test for Indonesia. Ideally, we should make the most of the
demographic dividend. Should we be successful, we will possess a
much stronger economy to support the inevitable population ageing.
If we fail to fully capitalize on our demographic dividend, the resulting
chronic economic pressure will haunt us for many years to come.
• The most pressing problem of course, is our ever-shorter window of
opportunity ahead of the expected demographic dividend. Five to ten
years is barely adequate to be properly prepared. As such, time is
utterly of essence.

49. • The policies needed to be fully prepared for the upcoming demographic
dividend need to be localized. In area where the dependency ratio is still
high -- probably as a result of lack of access to proper family planning —
the highest priority should be providing sexual and reproductive health
services (including contraceptives), raising awareness on family planning
including the ideal age for marriage and ideal family size, ensuring
education enrolment, and providing access to decent work to eradicate
child poverty.
• In areas where dependency ratio is in the middle range, the priority should
be improving human capital by investing in youth’s education; while
where the dependency ratio is sufficiently low, the highest priority should
be to ensure the population remains productive by providing better access
to employment, either through an active labor market policy or by
increasing investment in new jobs.

50. • Another key factor to seize the opportunity of the demographic dividend is to
increase women’s participation in the labor force. As of now, for every 100 men
in our labor force, there are only 60 women —which is quite low considering that
the number of working age females is marginally higher.
• Incorporating women into the labor force will not only help boost the economy, it
can empower women. Of course the quality of the employment is also very
important. Promoting education among young women can kill two birds with one
stone -- as will it not only provide women with the skills needed to compete for
quality employment, it will also help further decrease the fertility rate as there is
a clear negative correlation between women’s level of education and family size.
• In conclusion, we should be properly prepared for the upcoming demographic
dividend not only because it is a wonderful opportunity to kick-start our
economy, but also because failing to do so will create economic and social
problem in the form of ageing population that we must support.