By: Khoirul Rayyan Damadewa
The Merah Putih Village Cooperative now stands tall as a symbol of the government’s commitment to strengthening the people’s economy in rural areas. Under the direction of President Prabowo Subianto, who inaugurated the establishment of 80,000 cooperatives nationwide, this initiative has become a strategic momentum to accelerate equitable welfare across the country. The government emphasizes that the priority is the people—cooperatives are not a vehicle for officials to profit, but rather a tool for the people to prosper first.
Deputy Minister of Social Affairs, Agus Jabo Priyono, stated that the Merah Putih Village Cooperative is a strategic step aimed at encouraging the independence of social assistance recipients. As a new economic entity at the community level, the cooperative is expected to become a vital link in the transition from dependence on social aid toward sustainable and productive economic empowerment. This initiative is directly related to breaking the cycle of poverty and empowering rural communities.
The impact of the Merah Putih Village Cooperative is already evident. In many cases, farmers’ incomes have increased due to direct access to markets, eliminating harmful intermediaries. Fertilizer and seed prices can be reduced through collective purchasing, while crop yields can be sold at fairer prices due to joint management. In addition, the cooperative promotes economic diversification by opening new business opportunities in agricultural processing, village tourism, and digital-based MSME services. All of these contribute to local job creation and strengthening of rural economic resilience.
Coordinating Minister for Food Affairs, Zulkifli Hasan, also stated that this program aims to promote self-sufficiency in food, water, and energy. In today’s uncertain global climate, Indonesia must not rely on imports. The country must stand on its own by prioritizing food, water, and energy independence. The role of the Merah Putih Village Cooperative is increasingly important in this ecosystem, as it can serve as a production aggregator, business capital provider, and direct distribution channel to the market.
Collaboration between the government and state-owned enterprises (SOEs) is also crucial to the program’s success. PT Telkom Indonesia (Persero) Tbk (Telkom) is actively supporting the national strategic program of the Merah Putih Village Cooperative through the launch of Digi Koperasi. This platform functions as an integrator connecting cooperatives with the SOE supply chain ecosystem, providing access to the MSME marketplace, and offering a dashboard to monitor cooperative performance comprehensively and in real-time.
Telkom President Director, Dian Siswarini, stated that the presence of Digi Koperasi is expected to enhance the efficiency and effectiveness of managing and supervising the Merah Putih Village Cooperative through its reliable features. Additionally, the provision of high-speed internet is essential to support this effort. Telkom’s active involvement in this program reflects the company’s commitment to strengthening rural economies through the use of digital technology.
Furthermore, digital transformation in the cooperative sector is a crucial step in promoting nationwide economic equity. By utilizing Digi Koperasi, village cooperatives can not only operate more transparently and accountably but also access real-time data to make more informed decisions. Telkom also provides technical support and training to cooperative managers to ensure they can fully utilize the platform independently.
Meanwhile, Central Java Governor, Ahmad Luthfi, praised the Merah Putih Village Cooperative program as a tangible step by the government to strengthen the people’s economy. He emphasized that cooperatives represent the true spirit of mutual cooperation—from, by, and for the people—which can foster a spirit of rural self-reliance. The active participation of the community as the main actors of the cooperatives is the key to this program’s success on the ground. Therefore, he also encouraged the strengthening of entrepreneurship education, digital literacy, and managerial training at the village level, so that cooperatives become not just a symbol of togetherness, but also a real instrument for job creation, increasing local product competitiveness, and eradicating poverty systemically.
Looking ahead, village cooperatives must be able to serve as microeconomic hubs connected to national and even international markets. With adequate technology, mentoring, and financing support, these cooperatives can develop into professional business entities while remaining rooted in local values. This is a golden opportunity for villages across Indonesia to rise—not just as objects of development, but as engines driving the nation’s progress from the grassroots level.
The Merah Putih Village Cooperative program is solid proof that inclusive and equitable economic development can begin in villages. Through collaboration between the government, SOEs, private sector, and the community, this program becomes a starting point for sustainable village self-reliance. Moreover, the Merah Putih Village Cooperative is expected to become a model for a resilient and adaptive people’s economy that strengthens the nation’s socio-economic resilience. With continued support from all stakeholders, these cooperatives will not only drive the local economy but also serve as a strong foundation for realizing a sovereign, prosperous, and self-reliant Indonesia—from village to city.
*) The author is an observer of economics and MSMEs.
