Analysing Foreign Aid from New Public Management Approach: The Case of USAID COVID-19 Assistance in Indonesia

SYIFA KAMILLA HANIEF, Prof. Yeremias T. Keban, MURP, Ph.D

2021 | Skripsi | S1 MANAJEMEN DAN KEBIJAKAN PUBLIK

The COVID-19 outbreak has perpetrated developing countries in multifaceted vulnerabilities. It ignites the rich countries to splurge the aid both in technical and financial assistance for pandemic handling. This study analyses foreign aid from New Public Management Approach by conceptualising the aspects of segmentation of responsibilities and accountability in the context of aid delivery and implementation management of USAID COVID-19 assistance in Indonesia from Q1 2020- Q1 2021 fiscal years. The conceptual framework depicts the segmentation of responsibilities and accountability are intertwined in vertical and horizontal axis. Gauging information from foreignassistance.gov dataset and secondary materials with descriptive qualitative methods, this study has found that differences in agency coordinating structures both in delivery and implementation between the ministerial lines and NGOs affect the level of outcome and impact between institutional or beneficiary as well as the national or decentralised programmes scale. These findings also substantiate the argument on the imbalance of accountability that may be led to high-risk of aid capture and misuse by elites, but the limitations do not capture the causal relationship of accountability complexity and implementation pitfalls in detail between the executing agencies or donor and recipient countries. Moreover, the concluding remark also provides the suggestion of policy implication on rethinking foreign aid strategy in Indonesia as recipient country.

The COVID-19 outbreak has perpetrated developing countries in multifaceted vulnerabilities. It ignites the rich countries to splurge the aid both in technical and financial assistance for pandemic handling. This study analyses foreign aid from New Public Management Approach by conceptualising the aspects of segmentation of responsibilities and accountability in the context of aid delivery and implementation management of USAID COVID-19 assistance in Indonesia from Q1 2020- Q1 2021 fiscal years. The conceptual framework depicts the segmentation of responsibilities and accountability are intertwined in vertical and horizontal axis. Gauging information from foreignassistance.gov dataset and secondary materials with descriptive qualitative methods, this study has found that differences in agency coordinating structures both in delivery and implementation between the ministerial lines and NGOs affect the level of outcome and impact between institutional or beneficiary as well as the national or decentralised programmes scale. These findings also substantiate the argument on the imbalance of accountability that may be led to high-risk of aid capture and misuse by elites, but the limitations do not capture the causal relationship of accountability complexity and implementation pitfalls in detail between the executing agencies or donor and recipient countries. Moreover, the concluding remark also provides the suggestion of policy implication on rethinking foreign aid strategy in Indonesia as recipient country.

Kata Kunci : Foreign aid; Bilateral; COVID-19; New Public Management; Accountability; Transparency; Agencification