Reforming Indonesia’s Technical Vocational Education and Training System
Technical and Vocational Education and Training (TVET) System Reform (TSR 2.0)
Technical and Vocational Education and Training (TVET) System Reform (TSR 2.0)
German Federal Ministry for Economic Cooperation and Development (BMZ)
Indonesia
Indonesia, Coordinating Ministry for Economic Affairs (CMEA)
Indonesia - Coordinating Ministry for Economic Affairs (CMEA)
2021 to 2024
Economic Development and Employment
Artificial Intelligence (AI) and digital transformation are important productivity and value-creation drivers. Furthermore, a green transformation of the economy is becoming increasingly important for sustainable economic growth. These factors are causing a paradigm shift in Technical and Vocational Education and Training (TVET). The aim is to produce a skilled workforce that meets the needs of the industry and can independently adapt to its rapid and disruptive evolution.
More than 20 million jobs could be replaced by automation by 2030, while 27 to 46 million new jobs could be created, including 10 million in new types of occupation. It is vital for economic development that the demands of this be met.
The current Indonesian TVET system is heavily supply-driven. In addition, factors such as fragmented TVET governance and a non-harmonised regulatory framework have made TVET improvement sluggish and have prevented innovation at TVET institutes from redesigning their programmes to meet industry needs which resulted in skills mismatches and a lack of demanded skills in the labour market. One negative result is a high unemployment rate for TVET graduates.
The Indonesian Government is successfully implementing key elements of the Indonesian National TVET Strategy.
The TSR 2.0 project supports the Government of Indonesia in creating a functional TVET ecosystem in collaboration with all relevant local actors by:
Last update: May 2023