Indonesian VP: Village Cooperatives Must Not Compete with Local Businesses

Indonesian Vice President Gibran Rakabuming has directed that village cooperatives, known as Kopdes Merah Putih, must not compete with other economic units within villages. He stressed that these cooperatives should function as an integral part of the village economy, complementing rather than challenging existing businesses.

"We must ensure this becomes one ecosystem that complements each other," Gibran stated, emphasizing that Kopdes should not rival village-owned enterprises (BUMDes) or local shops. He highlighted the need for meticulous planning in establishing these cooperatives to ensure they contribute positively to the local economy without harming established businesses.

During a visit to Desa Niowula in Ende Regency, East Nusa Tenggara, Gibran, who is also the son of former President Joko Widodo, met with residents to discuss the cooperative's development. He underscored that the location selection for Kopdes requires thorough consideration, involving community input to prevent adverse effects on local enterprises and even educational institutions.

Gibran also brought five university students from various institutions to observe his working visit to eastern Indonesia. This initiative aims to strengthen oversight of government priority programs, such as the free nutritious meal program and the Kopdes, in line with President Prabowo Subianto's directives. The involvement of students is seen as a way to ensure these programs benefit the community without creating new local issues, especially in remote areas.