The discussion formed part of the OG-IDN policy simulations project and featured the presentation of a model-based policy paper by the Institute for Development of Economics and Finance (INDEF) to senior officials of the Ministry of National Development Planning (Bappenas). The presentation demonstrated how the OG-IDN model can be used to assess fiscal trade-offs and policy options in a transparent, evidence-based framework.
The policy paper used the OG-IDN model to simulate alternative budget reallocation scenarios, including those related to the Government’s Danantara initiative and the Free Nutritious Meals (MBG) programme. The simulations examined the effects of different spending and financing choices on long-term economic growth, investment, and fiscal sustainability, with particular attention to intergenerational and distributional outcomes.
The policy dialogue reflected the culmination of a capacity development programme associated with the OG-IDN project, which involved a series of technical workshops and follow-up activities. These activities supported national researchers and officials in developing the skills needed to run, interpret, and communicate model-based policy simulations relevant to Indonesia’s development priorities.
A public discussion held in conjunction with the presentation attracted around 30 participants from across Indonesia, representing government agencies, academic institutions, and the media. Participants included policymakers, development practitioners, researchers, and journalists, and were actively engaged in the sessions, contributing to substantive discussion on the application of macroeconomic modelling to development planning.
The OG-IDN model and all related documentation are open source, ensuring transparency and long-term national ownership. The full record of workshops, materials, and outputs—including this policy paper—is available on the project website: https://eapd-drb.github.io/OG-IDN/
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