Arts and culture has long been acknowledged as a key element of human development in Indonesia, helping to strengthen the identity, and improving the quality, of Indonesian human resources in the face of global competition. It is for these reasons that we need a financing system for the arts and culture in order to raise awareness and inspire communities to cultivate better cultural ecosystems in Indonesia.

To help facilitate the participation of various stakeholders in raising resources – including governments, corporations and individuals from the general public –   the Indonesia Arts and Culture Philanthropy Cluster was launched on Thursday 7/12/2017 at the Mini Stage Festival of the Creative Economy Agency (Bekraf), Gedung Persediaan PT KAI Bandung. The launch was attended by Fadjar Hutomo (Deputy Access of Capital Bekraf), Timotheus Lesmana Wanadjaja (Filantropi Indonesia), and Linda Hoemar Abidin (Koalisi Seni Indonesia). There was also the signing of a joint commitment between Filantropi Indonesia, Koalisi Seni Indonesia and Bekraf. This joint commitment will soon be elevated to a memorandum of understanding between the three institutions plus the Director General of Culture – Ministry of Education and Culture, in the near future. The event was one of the sessions in the Bekraf Festival event which ran for 4 days in Bandung Creative Hub and Gedung Persediaan PT KAI Bandung.

Linda explains, "Through the signing of this statement of shared commitment, the relevant institutions agree to support and work together to encourage philanthropy for the advancement of Indonesia’s art and culture."

Deputy Access to Capital Bekraf, Fadjar Hutomo, added, "Bekraf has signed a partnership agreement with Filantropi Indonesia in 2016 to support mutual creative economic development. We recognize the important role of philanthropy as one of the non-banking financial sources for creative economy actors. We hope that through the signing of this statement of commitment on Cluster Philanthropy of Arts and Culture, each party is more committed to synergy in the implementation of duties, functions, and authority given that the progress of creative economy cannot be separated from the progress of art and culture of people who have intellectual property as the main capital".

Until now, the funding sources for the art community have been limited. Based on a study by Koalisi Seni Indonesia in 2015 on the sustainability of 227 art institutions in 8 cities in Indonesia, only 15% have access to public funds provided by local and national governments. Most institutions, approximately 79%, rely on independent funding. "Philanthropy’s support for the arts is very important. Art sharpens our creativity and imagination, these two things are needed so that we can continue to innovate for a better future," explained Linda Hoemar Abidin.

PIRAC (Public Interest Research and Advocacy) previously studied philanthropy’s support for the arts and culture in Indonesia.  It identified that art has not previously been a priority focus of charity and giving. In 2017, of the IDR 44 billion in funding across 1,372 social activities conducted by private companies, only 18.1% was granted to arts and culture.

At present, the state funding for art and culture has been regulated in the Cultural Proclamation Act No.5/2017, articles 47 and 48. However, with the establishment of Cluster Philanthropy of Arts and Culture of Indonesia there is a hope that there will be a more synergized effort to encourage the support of individual philanthropists and institutions.