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"ABSTRAKPakistan is an underdeveloped country, full of socio-economic problems where a few opperss and exploit many. One of the most significant reasons, in this context, is the high illiteracy rate in the country. However, can high literacy rates guarranty peace, prosperity, and juctice in any society? Cleary not. There are several countries where the literacy rate is high yet it remains relatively under developed. However, it also a fact that the countries where the literacy rate is high have been able to emerge as economic power. In the regard, Freire's concept of literacy education is very helpful in that it is essentially hopful in nature and it is this optimism which gives it the potential to transform oppressive situations. "

"The operational cost of primary schools in the capital of the Republic of Indonesia has attracted public educator' interest. Lately, the Indonesian government has decided to provide a larger budget than ever, either from the national and regional aid of education budget (APBN and APBD). Since January 1, 2006 every active student at state primary schools (SDN), Islamic Elementary Schools (MI), Extraordinary Elementary Schools (SDLB) are given the allowance of operational cost of IDR 19,500,-per month or IDR 235,000 per year and the principals must not longer collect dues from students, otherwise they will be fired. This policy is not applied to the 13 (thirteen) top schools, where the principals of these schools may levy dues to students with the approval of the school committee meeting. This study denotes the fact of education policy in Jakarta."