ASIATODAY.ID, JAKARTA – Indonesia has reaffirmed its commitment to becoming a global donor country, marking a significant transformation from its past status as a recipient of international aid.
Through the Indonesian AID or the Lembaga Dana Kerja Sama Pembangunan Internasional (LDKPI), managed by the Ministry of Finance, Indonesia is now actively contributing to global development efforts.
During the International Student Gathering: The Indonesian AID Scholarship 2025 public lecture on October 30, 2025, Vice Minister of Finance Suahasil Nazara explained that this transformation reflects Indonesia’s economic progress and growing capacity to play an active role in international cooperation.
“Indonesia has evolved from being an aid recipient to a country that can now declare itself a donor nation. In the past, we received assistance; today, we are able to give back to the world,” said Vice Minister Suahasil.
This change did not happen overnight. Indonesia was once a recipient of financial support from the International Development Association (IDA) under the World Bank.
However, as the country’s economy strengthened, Indonesia began contributing as a donor to the IDA program starting in 1998.
“In 1998, we transitioned from receiving aid to providing it. This is a truly remarkable achievement for Indonesia,” he added.
Suahasil emphasized that Indonesia’s approach to international development assistance is grounded in principles of solidarity, responsiveness to real needs, and mutual benefit between donor and recipient nations.
Indonesia’s aid is not merely financial but also a moral commitment to fostering friendship and cooperation among nations.
Indonesia has also extended humanitarian assistance globally, including sending COVID-19 vaccines to partner countries such as Nigeria during the pandemic. These initiatives embody the Indonesian spirit of gotong royong—mutual cooperation—which the nation proudly introduces to the global stage.
To institutionalize this role, the government established the LDKPI in 2019. As a Public Service Agency under the Ministry of Finance, LDKPI manages international development funds and oversees grant allocations to foreign governments and institutions in line with national policies.
“This is essentially a Sovereign Wealth Fund. It means we allocate a portion of Indonesia’s state budget (APBN), which will remain untouched—an endowment fund managed sustainably,” Suahasil explained, referring to Dalyono, the Head of LDKPI, as the fund’s manager.
Through this transformation, Indonesia continues to strengthen its position as an emerging global donor, championing shared prosperity and solidarity across nations. (AT Network)
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