Problematic Social Assistance: Between Good Intentions and Failed Governance

Legal Literacy - Indonesia, which is in a period of economic growth, continues to issue various policies oriented towards improving people's living standards. However, these policies have not been fully able to answer the main challenge of significantly reducing poverty rates. This is because poor people who face income uncertainty and limited access tend to find it difficult to escape the poverty trap by relying solely on their own efforts. In such a situation, assistance from the state is important to promote a decent life and create social justice. This is in line with the constitutional mandate in Article 34 paragraphs (1) and (2) of the 1945 Constitution, which affirms that “the poor and abandoned children are cared for by the state” and that “the state develops a social security system for all people and empowers weak and incapable communities in accordance with human dignity.” As an implementation of this mandate, the Indonesian government has launched various social assistance (bansos) programs aimed at reducing poverty and increasing welfare. Some of these include Non-Cash Food Assistance (BPNT), the Family Hope Program (PKH), Cash Social Assistance, Rastra, and the Indonesia Pintar Program (PIP). However, these programs have also raised various pros and cons, especially regarding the polemic of mis-targeting in the recipient data collection process. This is where the effectiveness social assistance governance begins to be questioned. The government has allocated a very large budget for social protection. The Ministry of Finance reported that the outlook for social assistance (bansos) budget in 2025 is estimated to reach IDR 154.24 trillion, or 109.23% of the state budget target of IDR 140.05 trillion. This figure even increased compared to 2024, which was recorded at IDR 153.31 trillion. However, the large allocation is not always directly proportional to effectiveness in the field. The Chairman of the National Economic Council (DEN), Luhut Binsar Pandjaitan, revealed that of the total social assistance worth IDR 500 trillion, only about half actually reached the eligible community. This statement confirms that the main problem does not lie in the lack of funds, but in the flawed distribution governance. In response, the government is developing the National Integrated Social and Economic Data (DTSEN), which aims to integrate various databases such as the Integrated Social Welfare Data (DTKS), Social and Economic Registration (Regsosek), and the Acceleration of Extreme Poverty Eradication Targeting (P3KE). However, the problem does not stop at the system. The government removed approximately 1.9 million families from the list of social assistance recipients of the Family Hope Program (PKH) and Non-Cash Food Assistance (BPNT) in the second quarter of 2025. This revocation was carried out after re-verification showed data discrepancies, which means that there are still many people who are incorrectly recorded as recipients of assistance. The utilization of digital technology is one of the government's strategic efforts in increasing the transparency and accuracy of social assistance distribution. Innovations such as the digitalization system of recipient data, the use of monitoring applications, and the use of blockchain technology have begun to be implemented to minimize fraud and abuse. Thus, the data collection process becomes more accurate and real-time, making it easier for the government to carry out verification as well as periodic evaluations. In addition, community involvement through online platforms to report indications of social assistance irregularities is also an important step in building joint supervision. However, the success of this technology still faces challenges such as the digital divide and different levels of technological literacy in society, so a strong synergy between the government, society, and the private sector is needed to realize a transparent and effective social assistance system. However, the problems do not only come from the government's side, but also from the behavior of the aid recipients themselves. The Financial Transaction Reports and Analysis Center (PPATK) revealed that as many as 15,033 residents of DKI Jakarta who received social assistance (bansos) were identified as online gambling perpetrators throughout 2024. According to the Head of PPATK, Ivan Yustiavandana, in a press conference on July 10, 2024, this group carried out approximately 397 thousand transactions with a total nominal value reaching Rp67 billion. This amount is part of the 602,419 Jakarta residents who are on the list of online gambling players, covering five cities and one regency in the DKI Jakarta area. This data adds to the irony of the distribution of social assistance which should support basic needs but is misused for illegal activities. If the government only provides social assistance such as staple foods and money consistently without counseling or empowerment to the community, a prolonged pattern of dependency will be formed. People with minimal awareness of their lives are also potentially losing motivation and enthusiasm to work and be economically independent. In fact, if the government really wants to solve the problem of poverty thoroughly, this kind of transactional approach needs to be complemented by transformative strategies in the form of skills training, independence-based education, and sustainable counseling. Equally important, the creation of inclusive employment opportunities and the simplification of work administrative requirements must be carried out so that people have broad access to economic opportunities. Without these efforts, social assistance will only be a temporary sedative for much more complex social problems. Improvements to social assistance governance must go hand in hand with community empowerment efforts and strengthening of the oversight system involving various parties, including local communities and non-governmental organizations. This holistic and participatory approach is expected to reduce the potential for fraud while increasing public trust in social assistance programs. In addition, strengthening the capacity of managing officials and the use of advanced technology must continue to be optimized so that the distribution of social assistance is truly on target and has a positive long-term impact. With these strategic steps, social assistance is not only a tool for short-term poverty reduction, but also a main pillar in building an independent and empowered society.