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RI Govt links tourism villages with cooperatives under KDMP plan

Jakarta (ANTARA) – Indonesia’s Tourism Ministry and Ministry of Cooperatives have agreed to accelerate the formation of cooperatives in tourist villages, aiming to ensure tourism development delivers direct economic benefits to local communities under the Red and White Village Cooperatives (KDMP) program.The partnership was formalized through the signing of a cooperation agreement in Jakarta on Wednesday, Jan. 14, according to an official statement received on Thursday.“We are committed to ensuring tourism development provides tangible economic benefits for communities. Strengthening cooperatives is key to making rural economies more resilient and inclusive,” said Hariyanto, a deputy at the Tourism Ministry.Hariyanto said tourism strategies must go beyond infrastructure and promotion, stressing that sector growth should directly improve livelihoods, particularly for residents of villages and rural tourism destinations.Under the agreement, the Tourism Ministry will compile data on the potential of tourist villages and local communities to support the establishment of cooperatives based on regional strengths, he said.He added the deal provides a framework for joint work plans, the formation of a shared task force, and assistance for cooperatives developing tourism products and related facilities.“With support from the Ministry of Cooperatives, we are confident these efforts will strengthen Indonesia’s tourism sector and rural economies,” Hariyanto said.Meanwhile, Panel Barus, a deputy at the Ministry of Cooperatives, said tourism is a strategic sector with strong potential to improve public welfare through cooperative-based business models.“Our goal is to transform community tourism groups into formal cooperatives with access to financing and the capacity to grow sustainably,” Panel said.The agreement follows an earlier memorandum of understanding between the two ministries supporting the KDMP program for national tourism development.Under the KDMP program, the government has established more than 81,000 cooperatives nationwide, guided by 13 objectives covering rural empowerment, job creation, and improved access to basic goods and services.The program also aims to alleviate extreme poverty, curb inflation, strengthen food distribution, and improve farmers’ exchange rates, according to government data.These goals reflect President Prabowo Subianto’s vision of building Indonesia from its villages to achieve more balanced regional growth.On Jan. 12, the president announced a target of operating 60,000 village cooperatives nationwide by the end of 2026.