High Level Policy Dialogue 2017 Addressing inequality

The 2017 Indonesia-Australia HLPD focused on three main issues:

• Indonesia’s development trends, social aspects and its implications on inequality

• The digital economy, technological change and its benefits to economy including reducing inequality

• Reducing inequality through fiscal policy and local governance improvements.

The tenth HLPD (26–27 April 2017, Jakarta) was attended by approximately 80 people including HE Sri Mulyani (Indonesian Minister of Finance), HE Rudiantara (Indonesian Minister for Communications and Information), HE Paul Grigson (Australian Ambassador to Indonesia), Chris Tinning (Chief Economist, DFAT), Suahasil Nazara (Chairman of FPA-MoF), Hal Hill (ANU Indonesia Project Research Associate) and Budy Resosudarmo (Head, ANU Indonesia Project).

The meeting focused on inequality and addressed three main topics: Indonesia’s development trends, social aspects and its implications on inequality; the digital economy, technological change and its benefits to economy including reducing inequality; and reducing inequality through fiscal policy and local governance improvements. After the dialogue, ANU staff led by Hill prepared a communiqué and presented it to the Minister of Finance along with representatives from the DFAT and Treasury.

On 2 November 2017, the Project hosted the preparatory meeting for the 2018 HLPD at the ANU. Nazara led the Indonesian delegation from FPA-MoF. DFAT and Treasury representatives were also present at the meeting. Following a presentation on recent economic and fiscal developments in Indonesia, participants discussed and subsequently agreed to consider the following topics for the 2018 HLPD: budget and tax management (efficiency and implementation, particularly in regards to village funds), social assistance/protection programs (particularly health insurance), and other topics such as land reform and infrastructure development.