VIRALTERKINI.ID, JAKARTA-Indonesia ranks 21st place as the most generous country of the World Giving Report (WGR) 2025 from 101 countries, down from the first rank according to the World Giving Index (WGI) report from the Charities Aid Foundation (CAF) in 2024.
According to Filanthropy Researcher Center for Research and Advocacy of Public Interest (PIRAC), Hamid Abidin in Jakarta, Saturday (2/8), the decline in Indonesian rankings is a natural thing because the research uses different methodologies.
According to him, the methodology used is more detailed and inclusive by including aspects of the value of donations on income and diversity of giving paths.
Hamid said that the WGR 2025 report showed that Indonesia still had great potential to become a philanthropic leader in the Southeast Asian region if the support of government policy and increasing capacity and accountability of philanthropic institutions continued to be improved.
Unfortunately, many regulations related to philanthropy are outdated, are restrictive and do not provide adequate incentives for the development of generosity.
Hamid made an example that Law No. 9 of 1961 concerning Collection of Money or Goods (PUB) which is still a reference for donation raising activities in Indonesia.
The tax incentive policy for Indonesia is also far behind compared to other countries in the world, even in Southeast Asia, he added.
“The potential for generosity can be more optimal if the government immediately revises an outdated PUB regulation and increases tax incentives that are currently scope and the value is still minimal,” he said.
In addition, Hamid stressed the importance of public trust in charity or philanthropic institutions as a key factor in building a strong culture of generosity, adding that the level of trust is very correlated with the culture of contributing society.
“This level of trust plays a dual role, not only encouraging people to contribute financially, but also supports voluntary and advocacy involvement that supports the sustainability of the philanthropic and non -profit sectors,” Hamid said.
Hamid also reminded the urgency of government policies and support in building a philanthropic ecosystem that had an impact on increasing the involvement and number of community donations.
Government policies and support through incentives, public campaigns, and regulations that facilitate and facilitate philanthropic activities will strengthen social motivation and norms about sharing, and support strategic and sustainable philanthropic culture. (ma)
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