What Drives Local Service Delivery Performance in Indonesia

Type Working Paper
Title What Drives Local Service Delivery Performance in Indonesia
Author(s)
Publication (Day/Month/Year) 2014
URL https://xa.yimg.com/kq/groups/70966632/958780891/name/AIPD+working+Paper+3.pdf
Abstract
There is a strong sense in popular debate that decentralisation in Indonesia has failed to deliver the anticipated results. With a few exceptions, assessments of decentralisation in Indonesia have relied on qualitative assessments of district performance in specific sectors. We use a newly available public dataset which contains measures of district performance in education, health and infrastructure for all districts from 2001-2012 to investigate the determinants of service delivery performance at the district level. We explore the extent to which exogenous factors, such as land area and population influence the ability of districts to deliver better services. We also examine the influence of exogenous but slowly changing variables including regional GDP, poverty and inequality, as well as an endogenous factor, district expenditures. We not only find that there are strong correlations between some structural factors and levels of performance, but also that expenditure is of importance. We conclude with the implications of our findings for policymaker’s attempts to enhance the accountability of district leaders by measuring district level performance on education, health and infrastructure service delivery.

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