Indonesia's Digital Financial Inclusion Acceleration Pre-Employment Card Approved by World Bank in Study

JAKARTADAILY.ID – The Pre-Employment Card Program or Kartu Prakerja, which was launched in April 2020, not only offers skill development as a foundation for gaining wider job opportunities but also becomes a means of transferring funds from the government to the community.

The 'physical distancing' policy during the COVID-19 pandemic which demands restrictions on social interaction has encouraged people to switch to digital payment systems.

This condition is a challenge for the people of Indonesia because they are still common and have not been touched by technology, especially as a means of payment.

However, the Pre-employment incentive distribution system using end-to-end digital and through the Government-to-Person (G2P) payment mechanism directly to recipients makes non-urban communities also experience increased financial literacy and inclusion, as they increasingly train the use of electronic payment systems.

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This fact was revealed in a discussion on the results of a study by the World Bank and the National Team for the Acceleration of Poverty Reduction (TNP2K) entitled "Pre-employment Card: Indonesia's Digital Transformation and Financial Inclusion Breakthrough" Wednesday, 15 June 2022.

Coordinating Minister for Economic Affairs Airlangga Hartarto appreciated the results of the study by the World Bank and the TNP2K Secretariat.

Airlangga emphasized that the Pre-Employment Card is a success story for the Indonesian government in transforming public services. Both digital technology and the ways startups usually do are in Pre-work.

"Pak Jokowi has declared the 'sky highway.' The use of cell phones is becoming more widespread, and information technology-based industries are growing rapidly. Pre-employment takes advantage of all of this. A learning ecosystem based on partnerships with hundreds of actors was built," said Airlangga.

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Airlangga explained that many have already joined the Pre-Employment ecosystem, with more than 12 million Pre-Employment Card recipients from 514 districts/cities able to register, practice, receive certificates, view job vacancies, and register for work online, without being limited by space and time.

Airlangga emphasized that the Pre-Employment Card is a pioneer of G2P payments through financial technology and this is a role that the Pre-Employment Card plays in accelerating financial inclusion in the country.

"The Pre-Employment Card Program is truly a breakthrough in Indonesia's digital transformation and financial inclusion," said Airlangga, who is also the Chair of the Job Creation Committee, the committee tasked with formulating policies and controlling the Pre-Employment Card program.

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