Collaborative Governance Approaches in Dealing with Financial Deficits in the JKN-KIS Program in Indonesia

Abstract

Objective - The imbalance in income and expenditure in the JKN-KIS program clearly illustrates the main causes of its financial balance deficit. The government has implemented many top-down programs to overcome this issue, but these efforts have not yet shown any satisfying outcomes. The collaborative efforts in dealing with budget deficit problems in the JKN-KIS program have been carried out by many actors. The extant literature suggests it should be noted that the components are comprehensive and appropriately used in answering problems. This study consists of a theoretical discussion focusing on the potentials and challenges of bottom-up collaborative governance concept as well as a practical example of how this concept works in dealing with financial deficits in the National Health Insurance (JKN) program in Indonesia. Methodology/Technique – This study aims to explain the tendency of collaborative governance approach used. This study is conducted using a post-positivism approach with qualitative and quantitative data analysis using 13 state and non-state institutions for the period of the JKN from 2014 to 2018. Finding & Novelty - The results of the study show that there is no dominant tendency in each existing model. However, there are a “red thread” between collaborative governance models formulated. The results suggest that a bottom-up approach emerges as a critique to the old scheme of a top-down approach in which the participation of the citizens or NGOs are not proportionally given. This finding implies that in adopting the bottom-up collaborative governance concept there are significant challenges for the collaborative governance approach in the future. Type of Paper: Review JEL Classification: I13, I18. Keywords: Financial Deficit; Health Insurance; Collaborative Governance; Bottom-up. Reference to this paper should be made as follows: Janah, M; Rahayu, A.Y.S. 2020 Collaborative Governance Approach in dealing with financial deficits on JKN-KIS Program in Indonesia, Global J. Bus. Soc. Sci. Review 8(2): 124 – 131. https://doi.org/10.35609/gjbssr.2020.8.2(6)