Economists raise concern over sustainability of Indonesian meal program

Voice of America

09-02-2025

Economists are raising concerns about the viability of Indonesian President Prabowo Subianto's program launched this year to combat child nutrition.
According to an Indonesian Ministry of Health Nutritional Status Study report, 21.6% of children ages 3 and 4 experienced stunting caused by malnutrition in 2022.
The first stage of the Free Nutritious Meal Program, extending through March, is intended to provide around 20 million Indonesian school children, pregnant women and breastfeeding mothers meals to improve their health and prevent stunting.
The effort was initially projected to cost $28 billion over five years. However, Coordinating Minister for Food Zulkifli Hasan said on Jan. 9 during a meeting on food security that the $4.4 billion budgeted for this year will run out in June and that $8.5 billion more will be requested to fund the program through December.
China, Japan, the United States and India have expressed support for the program, although it is unclear how much money will be provided or what form that support will take. Japan and India have said their help will be in the form of training.
Officials plan to implement the program in stages, eventually reaching 83 million people — more than a quarter of Indonesia's 280 million population — by 2029, Muhammad Qodari, deputy chief of the presidential staff told reporters on Feb. 3.
The program is part of a long-term strategy to develop the nation's youth to achieve a 'Golden Indonesia' generation, referring to a plan to make Indonesia a sovereign, advanced and prosperous nation by its 2045 centennial.
The program's cost could make Prabowo politically vulnerable, according to Dinna Prapto Raharja, a professor of international relations at Jakarta's Bina Nusantara University and a senior policy adviser at Jakarta consulting firm Synergy Policies.
'In order to finance this program, Prabowo has taken steps to implement major cutbacks in his government budget with some ministries seeing 50% cuts,' Dinna said.
'Now he is forced to seek financial assistance from overseas sources.' she told VOA on Jan. 31.
The Finance Ministry said the spending cuts would amount to $18.7 billion, 8% of this fiscal year's approved spending.
While other nations said they would support the program, officials from the National Nutrition Agency — which manages the program — said internal talks about the level of foreign aid, type of assistance and technical aspects of its implementation have not begun.
Support from China, Japan, US and India
In November, China committed to supporting free nutritious meals but did not pledge a specific amount.
The Chinese Embassy in Jakarta did not respond to VOA requests for further information on the value and form of the assistance. It remains unclear whether China's financial assistance will be in the form of a loan or grant.
The United States is providing training to Indonesian dairy farmers to support the program, which has increased the demand for locally produced milk. Indonesia, so far, can provide milk only two to three times a week to school children, according to Deddy Fachrudin Kurniawan, CEO of Dairy Pro Indonesia and project leader of U.S. Dairy Export Council training.
Deddy told VOA on Jan. 8 that Indonesia has had to import 84% of its milk in the past, and that demand will double because of the food program.
In January, Japanese Prime Minister Shigeru Ishiba announced Japan will support the meal program by helping the Indonesian government increase its ability to combat childhood malnutrition.
Ishiba offered Japan's support by training Indonesian cooks and sending Japanese chefs to assist. Prabowo added that Japan will also assist in improving the fishery and agriculture sectors, based on Japan's experience.
More recently, India reaffirmed support for the program through the sharing of knowledge of the government's Food Corporation of India and other institutions with Indonesian officials.
'India shares its experiences in the fields of health and food security, including the [free] lunch scheme and public [service] distribution system to the Indonesia government,' Prime Minister Narendra Modi said on his YouTube channel on Jan. 25.
Other support and reaction
Other countries have said they support the program. France and Brazil expressed their support on the sidelines of the recent G20 Leaders Summit in Rio de Janeiro.
Prabowo instructed his team to arrange a visit of an Indonesian delegation to Brazil to take notes from the South American country's similar program. France, which has a similar school feeding program, intends to share its expertise and help Indonesia modernize its agricultural sector.
Teuku Rezasyah, an associate professor of international relations at Bandung's Universitas Padjajaran, noted that India exported 20,000 metric tons of water buffalo meat to Indonesia last year while Brazil exported 100,000 metric tons of beef to Indonesia.
British Deputy Prime Minister Angela Reynar showed similar interest during her meeting with Prabowo in London in November. However, it remains unclear what type of support the U.K will offer.
Mohammad Faisal, executive director of the Center of Reform on Economics, told VOA in Jakarta on Jan. 31 that countries offering support will have their own interests in mind, as well.
'I believe there's no free lunch,' Faisal said. 'The donations may be partly altruistic, but not entirely. Donor countries consider it as strengthening bilateral ties, but they may also expect to reap the benefits in the future, such as enjoying ease of investing in Indonesia through incentives and getting better penetration of export markets as a reward.'
Rezasyah agreed.
'Donor countries are probably hoping Indonesia will import more products from their countries to support this multibillion-dollar supplemental food program,' he said. 'On the other hand, they see Indonesia becoming a middle power that could contribute to finding solutions to global affairs.'