Indonesia: World Bank approves $500m

The World Bank has approved US$500 million in additional financing for Indonesia’s Local Government and Decentralization Project, which aims to improve accountability in local government regarding the implementation of infrastructure projects. When Indonesia initiated decentralization a decade ago, responsibility for delivering services shifted from Jakarta to local governments. Some districts and cities have flourished, but others have suffered a decline in the quality of services. The additional funding is the second-phase of a planned program expansion that was spurred by the government’s request to expand the program’s reach to include 30 of Indonesia’s 34 provinces. It was begun in 2010. The four exceptions are provinces that have special autonomy status: Aceh, Papua, West Papua, and Indonesia’s capital, Jakarta, according to thejakartapost.com