Indonesian EdTech is re-skilling workers and boosting financial inclusion
www.weforum.org
By 2025, 85 million jobs will have been disappeared, to be replaced by 97 million new, different roles — education and re-skilling is key to weathering this transition. 85 million jobs will have been displaced by a shift in the division of labour between machines and humans, but that 97 million new
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Summary
Kartu Prakerja is an Indonesian Government programme that provides digital adult learning and re-skilling opportunities to disenfranchised and informal workers. Beneficiaries receive $67 to spend on online courses and educational institutions, as well as $41 per month for four months as an incentive for completing the courses. The programme has reached 14 million people, 62% of whom live in villages and 18% of whom have only a primary school education or less. On average, participants’ monthly incomes rose by $8.20, and 18% of participants had a higher probability of starting a new job and 30% had a higher probability of starting their own business. 65% of the beneficiaries who previously did not have an e-wallet or bank account entered the modern financial system for the first time.
Top Highlights
- By 2025, 85 million jobs will have been disappeared, to be replaced by 97 million new, different roles — education and re-skilling is key to weathering this transition.
- 85 million jobs will have been displaced by a shift in the division of labour between machines and humans, but that 97 million new roles will emerge. Weathering this transition will be a challenge for every country.
- A significant part of how they did this was by empowering disenfranchised and informal workers, a strategy that is critical for Indonesia as it emerges from the pandemic, and could be followed by many other countries looking to bolster their economies.
- the Indonesian Government launched Kartu Prakerja: a digital adult learning programme for productive employment
- Those who pass the online screening and verification receive $67 to spend on online courses and educational institutions. They are then connected to courses from 156 different training institutions across 6 digital platforms, where they can undertake training according to their job searching requirements, current experience and skill level.
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