Kampung Improvement Program (KIP)

Housing conditions and solutions vary widely from place to place in a large metropolitan area such as Jakarta. This UNDP/World Bank program attempted the difficult task of tailoring upgrading from site to site across a large city. To do so, they used community based organizations (CBOs) as project initiators to encourage an active, innovative, and self-sustained community in which upgrading could take place. This program is considered to be one of the best urban poverty relief programs in the world for several reasons – one being the low level of investment needed per person (US$118 in Jakarta to US$23 in smaller cities), another being its sustainability. Since its inception in 1969, the concept has spread to 800 cities in Indonesia to benefit almost 30 million people and is among the best urban poverty relief programs in the world. The KIP program has had three phases. The first two concentrated on physical improvements and the third phase added a social/economic dimension to the equation by devoting 12% of the funding to economic development.