The Impact of Indonesia’s School Operational Assistance Program on The Transition Rate from Primary to Junior Secondary School

Abstract

This study investigates the impact of Indonesia’s School Operational Assistance Program (BOS) on the transition rate from primary to junior secondary school using data from the Indonesian Family Life Survey (IFLS) and the Difference-in-Differences method. The results showed that the School Operational Assistance Program (BOS) significantly increases the transition rate from Primary to Junior Secondary School. Meanwhile, the School Operational Assistance Program (BOS) is more effective in increasing the transition rate in girls compared to boys. When comparing rural and urban settings, the program is more effective in rural than urban areas. Despite results showing that the School Operational Assistance Program (BOS) has successfully increased the transition rate from primary to junior secondary school, the program still has several problems, such as inadequate management of the funds and the lack of quality control related to its usage. The three models tested in the study conclude that the School Operational Assistance Program (BOS) significantly improved the overall transition rate from primary to junior secondary school in Indonesia, particularly for girls and rural areas.

Acknowledgments. This research is supported by DRPMI Universitas Padjadjaran (UNPAD) for Lecture Competency Research (RKDU) scheme. We thank our colleagues from the Department of Economics, who provided insight and expertise that greatly assisted the research and we thank “anonymous” reviewers for their so-called insights.