"The target is in addition to the 1.25 million families who have already received non-cash social aid in 2016. Currently, the total non-cash social aid recipients will reach 3 million families," Parawansa said here on Friday.
Her working visit to Jambi Province was aimed at distributing non-cash social aid to poor families and launching electronic-Warong (e-Warong), an electronic-based aid distribution program to help poor citizens get easy access to basic necessities through a non-cash payment system.
The minister said that the change in social aid distribution system from cash to non-cash scheme was based on the directions of President Joko Widodo to improve inclusive financial services for poor families and expand benefits that the citizens would get from all forms of social assistance.
Food aid can be accessed through e-Warong by using card for family welfare (KKS). The beneficiaries of this aid have reached 1.4 million families.
"The government has set a non-cash distribution system of various social aids to the beneficiaries of the PKH by using card for family welfare, which also can be a multi-function card," he pointed out.
Parawansa stated that KKS has an electronic feature with savings and can function as a banking card for financial services without firm, in the context of the inclusive finance and Digital Financial Services (LKD), which can be used as a tool for channeling various forms of social assistance to the citizens.
Meanwhile, as many as 8,906 families in Jambi city have become beneficiaries of the program. They have received the KKS that can be used as an e-voucher card to buy basic necessities using e-Warong service.
The Director General of Poverty Management of the Ministry of Social Affairs Andi Dulung said KKS has become a tool for distributing various forms of social assistance from multiple sectors in ministries in the form of non-cash scheme.
For example, social assistance of the PKH and food aid from the Ministry of Social Affairs, and subsidized Liquid Petroleum Gas (LPG) of three kilogram tube and electricity subsidy from the Ministry of Energy and Mineral Resources can be integrated for distribution through KKS.
Director General of Protection and Social Security Harry Hikmat stated that KKS can also be used for cash withdrawals of social aid of the PKH and purchase transactions of basic commodities as food aid.
Hikmat added that the electronic money system has been integrated with the savings scheme through the electronic wallet. A KKS card will accommodate various e-wallets for various types of social assistance in the form of money or goods.
"Gradually, more forms of social assistance such as social aid for education, nutritious food, health, housing, productive economic activities, peoples business credit for micro, and small and medium enterprises can be integrated for distribution to people. It is also applicable for distributing social aid using the regional budget or corporate social responsibility to residents," he explained.(*)
Editor: Heru Purwanto
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