Globalization and urbanization go hand in hand. Worldwide the number of people living in cities is rising. During the last years Indonesia showed one of the fastest growing rates of urbanization within Southeast Asia. Today more than half (265 Million) of all Indonesians live in cities. Until 2050 this percentage is expected to rise to 71 %. This means that Indonesia's urban population will grow by around 100 million. One major issue is the provision of affordable housing. Here the Central-Javanese city of Surakarta could gain national and international attention for its in-novative housing policies.
This master thesis gives an insight into the livelihoods of the urban poor in the city of Surakarta. The thesis focuses on two case studies in Mojosongo, in the north part of the city: Ngemplak Sutan and Mipitan Sewu. Both research areas were founded within a relocation program by the city government in 2008, as a response to heavy inner-city flooding. Consequently, in a first step, this thesis analyses the resources the household has access to. In a second step, the influ-ences of the surrounding structures and processes are being analyzed. A special focus is put on the effects of the relocation program and the residents satisfaction with the resettlement. This research uses qualitative primary data, collected through semi-structured interviews, observa-tions and focus group discussions. Besides mapping and household surveys were conducted in both settlements.
This research reveals that financial-capital has got a crucial role for the households in both re-search areas, since monetary means are being used to compensate the lack of various resources. Low educational levels, as well as a lack of formal working places, lead to a high importance of the informal sector. Both settlements lack proper infrastructural provision, especially regarding the accessibility and connectivity to the city center. This circumstance is responsible for higher living costs (e.g. transport) in Mojosongo, compared to the former inner-city situation. The high importance of the informal sector further limits the potential to increase household income and shortens the household (planning-) perspective. Although social-capital is strongly existent among most households, the benefits the households can gain from it are little, due to the lack of financial means. Hence social-capital is limited to solidarity within the neighborhood and reli-gious activities.
People in both settlements could profit from the process of democratization and decentraliza-tion. Since 1998 measurable efforts could be made in education and health provision. Further the process of relocation meant a positive change for most people. Nevertheless, a universal evaluation of the project is not possible since the success is highly dependent on the local cir-cumstances.
This study increases the knowledge about urban livelihoods in Central-Java, Indonesia and shows how measurements of the city administration can affect local livelihoods. These results may be used for future resettlement measurements and recommendations for an adequate provision of common goods.