No single template exists for a satisfactory Bank-supported country program, since such programs vary greatly depending on the country’s institutional capacity, stage of development, and particular development needs. The characteristics of the Indonesia country program illustrate some features of good outcomes found in several cases.
During fiscal 1999–2006, the Indonesia country program was largely successful. Bank support provided help to national authorities in securing economic recovery from the late 1990s economic crisis. By 2004, per capita income achieved precrisis levels, inflation fell to under 7 percent, and public debt was cut from nearly 100 percent of gross domestic product in 1999, to under 50 percent by 2005. These gains largely managed to turn around the effects of the crisis—the percentage of Indonesians living on less than one dollar per day was 16 percent in 2005, compared with 23 percent in 1999. The fall in income poverty and improvement in human development indicators were assisted by the Bank’s work in community-driven development through the Kecamatan Development Program and by reconstruction following the 2004 tsunami. These achievements outweighed some areas in which outcomes from the Bank’s program were less satisfactory—including in decentralization and fighting against corruption.