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Tenure Insecurity

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Indonesia

Located in Southeast Asia, between the Indian and Pacific oceans, Indonesia is the world’s largest island nation, with more than 17,000 islands. The population is 266 million (2018), making it the fourth most populous nation. Sustained economic growth has seen GDP per capita rise to US$12,300 in 2017 and fewer than 6% of the population living on less than US$1.90 per day.

Indonesia has a complex and fragmented legal and regulatory framework governing land, with multiple laws and regulations that stretch back to the 1960s. The Basic Agrarian Law (BAL) is the primary legislation. This sets out four main forms of tenure: right of ownership (hak milik) is permanent and can be transferred and mortgaged; use right (hak pakai) applies to rights of possession that are not permanent; right to exploit (hak guna usaha) is a kind of agricultural commercial lease; and right to build (hak guna bangunan) provides the right to construct and use buildings. Customary land law is a key difficulty in Indonesia. The BAL states that agrarian law is adat law, or Indonesian customary law, and gives some recognition of communal land rights (hak ulayat). However, adat law varies across the country and is not necessarily compatible with the formal tenure types set out in the BAL.

Prindex’s results show that 24% of respondents felt insecure about their tenure rights in 2018 – an equivalent of 42.8 million people aged 18 or over – equal to the average for the first 33 countries. 63% of the sample interviewed felt secure about their property rights and the remaining 13% refused or did not know how to answer the question.

The tables and diagrams below show key Prindex results for Indonesia or you can download an infographic.

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All respondents

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Analysing Tenure Insecurity by category

Location
Tenure type
Documentation
Properties
Gender
Age
Employment type
Income adequacy

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