The systematic country diagnostic (SCD)is designed to identify the most critical bindingconstraints and opportunities facing Indonesia in endingextreme poverty and boosting shared prosperity. In line withthe World Bank Group’s (WBG’s) new country engagement model,the findings of the SCD will provide inputs for thepreparation of the country partnership framework (CPF),which will outline the WBG’s engagement with Indonesia toachieve the twin goals. This SCD has four main conceptualelements. First, analyze past trends in growth, poverty, andinequality to highlight the deep drivers. Second, identifythe key channels for reducing poverty and boosting theprosperity of the Bottom 40 percent. Third, highlight themajor challenges and opportunities along each of the keychannels, and finally identify prioritized areas ofintervention to accelerate progress toward ending extremepoverty and boosting shared prosperity for each of thechannels identified.