President Prabowo Subianto is scheduled to inaugurate the Koperasi Desa/Kelurahan Merah Putih (Village/Urban Cooperative “Merah Putih”) on Monday, July 21, 2025, in Jakarta. This initiative is a key part of the President’s sixth Asta Cita (Visionary Aspiration), which aims to reinvigorate local economies and kickstart poverty alleviation efforts at the grassroot level.
Head of Presidential Communications, Hasan Nasbi, highlighted that Kopdes Merah Putih is part of a larger poverty eradication strategy introduced by President Prabowo’s administration, called the “trident of poverty eradication”. Comprising health, education, and socio-economic development, these three pillars are being rolled out progressively throughout July 2025.
Concrete government programs represent each element of the trident, including the Free Health Check Program in Schools, the People’s School, and the Kopdes Merah Putih. These initiatives underline the administration’s dedication to creating tangible welfare improvements rather than just symbolic gestures.
The Kopdes Merah Putih program was officially launched through Presidential Instruction No. 9 of 2025 on Accelerating the Establishment of Village/Urban Cooperatives Merah Putih in March 2025. This program aims to uplift the national economy from the village level upwards to address inequalities and empower communities to overcome poverty.
With extensive involvement from thirteen ministries, two national agencies, governors, mayors, regents, and village heads across Indonesia, the program targets the root cause of limited public access to crucial services due to poverty. Statistics Indonesia (BPS) reported that as of September 2024, 24.06 million Indonesians were living in poverty, hindering progress towards the Indonesia Emas 2045 (Golden Indonesia 2045) vision.
Adopting an inclusive and community-driven approach, Kopdes Merah Putih is designed to strengthen rural economies, enhance food security, and ultimately reduce poverty. By eliminating illegal lending operations and middlemen, the program aims to support local businesses, shorten supply chains, and improve access to vital resources and services in rural areas.
Focusing on prosperity for farmers, Kopdes Merah Putih will directly purchase agricultural products to bypass exploitative intermediaries, thus reducing prices for consumers. The program will be developed through strategies like establishing new cooperatives, expanding existing ones, and revitalizing underperforming cooperatives with essential facilities to help communities access goods, services, and financial support effectively.
As Kopdes Merah Putih aims to drive village economies and combat poverty, its impact is poised to be significant. Through a comprehensive approach addressing the core issues faced by local communities, this initiative is set to promote sustainable development and enhance the overall well-being of Indonesians.
