Red and White Village Cooperatives to Strengthen Rural Economy, Says Minister

Jakarta, Indonesianpost.com – Retrieved from Antara, Cooperatives under the Red and White Village Cooperatives program are set to play a crucial role in promoting a people-centered economy, fostering inclusive community empowerment, and ensuring equitable growth, according to Coordinating Minister for Food Zulkifli Hasan.

Speaking at the 2025 National Milk Day celebration in Jakarta on Sunday, Hasan emphasized that sustained and inclusive economic growth requires more than just contributions from large enterprises. It must also involve the active participation of small businesses, particularly in rural areas.

Hasan expressed optimism that the Red and White Village Cooperatives could serve as catalysts for a people-oriented economy, positioning villages as new hubs of economic growth that can contribute significantly to the national economy.

“The government’s support for this program reflects a strong commitment to unlocking the full potential of rural areas,” Hasan explained. “To achieve social justice in Indonesia, economic development must benefit all citizens, not just a privileged few.”

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He hopes that the village cooperatives will help improve public welfare more equitably, empowering rural communities to contribute more meaningfully to the national economy.

Hasan also urged state-owned enterprises (SOEs) to recognize the potential of micro, small, and medium enterprises (MSMEs) and not underestimate their importance.

“I want to remind SOEs that MSMEs are not burdens or objects of pity. They have the same potential as large businesses—they just need our political will, support, and the opportunities to thrive,” he stressed.

Earlier, on Friday (June 13), Hasan noted that the cooperatives program, set to launch nationwide on July 12, has already gained strong public support. Out of the 80,000 targeted villages, 79,882 have held conferences in support of establishing Red and White Village Cooperatives. The Ministry of Law has confirmed that 37,300 of these villages are legally ready to set up their cooperatives. (BL)

Red and White VillageRural Economy
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