Abstract

Gender equality in Indonesia is approximately at the level you would expect given the country’s level of development. Indonesia has more gender inequality than some neighbouring countries and less than others; and less than in the vast majority of Muslim-majority nations worldwide, regardless of income level. Women’s economic participation is, however, low relative to Indonesia’s level of development. Female labour force participation is low as many women leave the workforce when they get married and have children, particularly in the formal sector as formal sector employers do not generally offer flexible workplace conditions that would increase their ability to retain female employees. Social norms that position mothers as the main caregiver play an additional important role in women’s low economic participation. Public information campaigns that challenge people’s perceptions of gender norms are likely to be an important component of efforts to increase women’s economic participation. Greater female economic participation has payoffs in terms of increased household incomes. By contributing to household income and reducing economic stress within the household, greater female labour force participation is also likely to reduce family violence and so lead to happier home and family lives. A focus on increasing women’s economic empowerment would be farsighted as the country looks to recover from the pandemic and lay the groundwork for a dynamic future.

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