Indramayu Regency in West Java, Indonesia, persistently records the highest poverty rate in the province. This study posits that a significant yet under-examined factor in this persistence is the profound socio-economic impact of culturally mandated ceremonial expenditures. Practices such as debt-financed weddings (hajatan), funerals (tahlilan), and other life-cycle rituals represent a critical paradox: they are indispensable for maintaining social capital and cultural identity, yet simultaneously erode household economic resilience, creating a self-reinforcing poverty trap. Employing a sequential mixed-method approach, this research first analyzes quantitative household expenditure data to establish the magnitude of ceremonial spending. It then utilizes qualitative insights from in-depth interviews and focusses group discussions to uncover the socio-cultural logics and adaptive strategies employed by communities. The findings reveal that ceremonial costs consume a substantial, non-discretionary portion of household income, often necessitating high-interest debt or asset liquidation. This diversion of resources severely limits investment in education, health, and productive assets, thereby perpetuating intergenerational poverty. The study identifies a critical gap in current poverty policies, which largely overlook these cultural-economic pressures. We conclude that effective intervention requires a culturally integrated policy framework that moves beyond conventional economic aid. Such a framework must support community-led adaptations of ceremonial practices, strengthen financial literacy and inclusive financial services within the cultural context, and leverage existing social capital for economic empowerment. This research contributes to the broader literature on the cultural political economy of development by highlighting how local normative systems can conflict with and undermine macro-level development goals.
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