Indonesia to Deploy AI‑Targeted Direct Cash Transfers for Millions

The Indonesian government is expanding its social welfare system with a new AI‑based platform that will allocate direct cash transfers of up to Rp 5.4 million per recipient. Minister of National Development Planning Luhut Binsar Pandjaitan explained that the technology, already piloted in Banyuwangi, East Java, will classify beneficiaries and replace in‑kind subsidies with cash, aiming to save tens to hundreds of billions of rupiah. After a successful trial in 42 districts, the program is slated for a nationwide rollout in October, covering all 514 regencies and cities, and will be supported by a forthcoming Digital Single ID to improve targeting.

In East Java, Governor Khofifah Indar Parawansa unveiled the Sapa Bansos 2026 programme, allocating Rp 2.27 billion to the city of Probolinggo for cash assistance, poverty relief, disability support, and productive zakat. The province plans to spend Rp 171.2 billion on social aid across the region, combining charity and empowerment approaches to reduce poverty and social inequality.