ANALYSIS OF THE INDONESIA SMART CARD PROGRAM (KIP) AND INDONESIA HEALTHY CARD PROGRAM (KIS) ON POVERTY REDUCTION IN INDONESIA

Abstrak

Poverty is a complex multidimensional phenomenon faced by many countries, characterized by individuals' inability to meet basic needs. In line with the RPJPN 2024–2045 vision, poverty alleviation has become a key strategy for improving public welfare. However, poverty measurement in Indonesia still focuses on the monetary aspect, making it necessary to adopt a multidimensional approach that includes social factors such as education and health. This study analyzes the impact of the Open Unemployment Rate, Indonesia Smart Card Program (KIP) and Indonesia Healthy Card Program (KIS), and the Construction Cost Index (IKK) on poverty reduction in 16 provinces with the highest poverty rates in Indonesia from 2019 to 2023. The panel regression analysis method is employed. The results indicate that the Open Unemployment Rate and the Construction Cost Index have a positive and significant effect on poverty, while KIP and KIS have a negative and significant effect on poverty in the 16 poorest provinces in Indonesia.