Government Encourages Pesantren Cooperatives to Become Pillars of the Grassroots Economy

Indonesia's Deputy Minister of Cooperatives, Farida Farichah, is pushing for the professionalization of cooperative management within the nation's pesantren (Islamic boarding schools). During a visit to the Mathlaul Anwar Consumer Cooperative in Pontianak, West Kalimantan, Farida highlighted the immense potential of pesantren networks, which have been strong for centuries.

Farida stressed that these powerful networks, traditionally focused on education and social activities, should expand into the economic sector through professionally managed cooperatives. "Pesantren networks are the strongest networks from the past to the present. If managed professionally, pesantren can become self-reliant and not just depend on government assistance or donors," she stated.

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Pesantren networks are the strongest networks from the past to the present. If managed professionally, pesantren can become self-reliant and not just depend on government assistance or donors.

A key aspect of this professionalization involves separating business and social affairs. Farida pointed out the common practice where cooperative profits are directly used for pesantren operations before proper calculation of profit sharing (SHU). "Business and social funds must be separated. This is part of professional governance. Don't let students who should focus on studying be burdened with technical business matters that are not their expertise," she asserted.

To support this initiative, the Ministry of Cooperatives is providing resources such as the Low-Cost Revolving Fund Management Agency (LPDB), offering loans at lower interest rates than commercial banks. The ministry also plans to assist pesantren cooperatives with training and certification, particularly for Sharia Supervisory Boards (DPS) in the growing number of sharia cooperatives. Farida expressed optimism that professionalizing pesantren cooperatives will strengthen the grassroots economy, aiming for each pesantren to have an independent cooperative integrated into the national economic supply chain.

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Business and social funds must be separated. This is part of professional governance. Don't let students who should focus on studying be burdened with technical business matters that are not their expertise.