Jakarta – The government continues to strengthen the role of the Merah Putih Cooperative as a driving force for the village economy and a strategic instrument for encouraging local workforce activation. This program is part of the government’s efforts to expand job opportunities, increase community productivity, and strengthen village-based economic independence by 2026.
By developing the Red and White Cooperative in various regions, the government is encouraging the creation of new jobs that absorb local labor, spanning sectors such as production and distribution, and cooperative business management. This approach is considered effective in reducing urbanization while increasing economic value at the village level.
The Indonesian Minister of Cooperatives, Ferry Juliantono, stated that village cooperatives have a strategic role in creating inclusive and sustainable employment opportunities.
“The Merah Putih Cooperative is not only a center of economic activity, but also a vehicle for community empowerment and job creation in villages. This is a crucial part of driving the economy from the bottom up,” he said in an official statement.
The government notes that the development of village cooperatives has contributed to the growth of productive businesses based on local potential, such as in agriculture, fisheries, crafts, and the processing industry. This allows for optimal absorption of local labor without requiring them to migrate to urban areas.
Furthermore, the government is strengthening human resource capacity through training in entrepreneurship, cooperative management, and the use of digital technology. These measures aim to ensure that local workers are not only absorbed but also equipped with the necessary competencies to enhance business competitiveness.
Deputy Minister of Villages and Development of Disadvantaged Regions Ahmad Riza Patria emphasized that the activation of local labor is a priority in village development.
“We encourage every village cooperative to become a center of economic activity that absorbs local labor, so that the benefits of development are truly felt by the village community,” he said.
The government also ensures continued expansion of financial support and market access for village cooperatives. Synergy with financial institutions, businesses, and local governments is key to accelerating cooperative development and job creation.
By strengthening the role of the Merah Putih Cooperative, the government is optimistic that villages will become new centers of economic growth capable of absorbing a wide range of workers. Activating the local workforce is expected to not only improve community welfare but also strengthen national economic resilience in a sustainable manner.
