Klaten, 21 July 2025 – President Prabowo Subianto officially launched 80,081 Merah Putih Village/Urban Cooperatives (KDMP/KKMP) as an effort to shorten distribution chains and strengthen village-based economic growth. The program, inaugurated in Klaten, Central Java, aims to improve the welfare of farmers, fishermen, and MSMEs through six business lines, including affordable staple goods and savings-and-loan services.
“The establishment of 80 thousand Merah Putih Village Cooperatives is one of the efforts to shorten distribution chains, encourage local enterprises, and provide access to resources and essential services needed by rural communities such as farmers, livestock breeders, and fishermen,” stated President Prabowo in his remarks in Wonosari, Central Java, Monday, 21 July 2025.
President Prabowo emphasized that cooperative managers must uphold good performance, transparency, and accountability. The Merah Putih Village/Urban Cooperative model applies a collective, inclusive, and modern approach. The cooperatives are expected to strengthen rural economies, reinforce food security, and provide public access to essential goods at affordable prices.
“This cooperative is a major strategic initiative driven by strong intention, motivation, and purpose. Today marks a historic moment as part of a broader movement to build a modern rural economic ecosystem that serves and supports the people,” President Prabowo asserted.
The institutional launch of 80 thousand KDMP/KKMP was also attended by members of the Merah Putih Cabinet, including Minister of Creative Economy Teuku Riefky Harsya. In line with President Prabowo’s statement, the Minister underscored the important role of cooperatives in strengthening the creative economy ecosystem—particularly at the regional level—to build a healthy, productive, and independent entrepreneurship environment in villages.
“With the spirit of collaboration, the Merah Putih Village/Urban Cooperatives align with efforts to accelerate the role of the creative economy as a new engine of growth beginning at the regional level. This also affirms the importance of cooperatives as a foundation for the creative economy and a pillar of social equity, fostering aggregator initiatives that expand financing access for creative economy actors through savings-and-loan services,” said Minister of Creative Economy Teuku Riefky Harsya.
In supporting Indonesia’s economic development, cooperatives play a fundamental role in unlocking market access for local products. The Ministry of Creative Economy is committed to contributing to the strengthening of the creative economy ecosystem, aligned with President Prabowo’s vision of building a just and prosperous Indonesia.
The business concept of the Merah Putih Village Cooperative as a milestone of cooperative revitalization features six service units to meet daily community needs: staple goods outlets, cold storage facilities, affordable medicine centers (pharmacies), village clinics, savings-and-loan services, and warehouse and logistics operations.
“In less than two months, 80,081 Merah Putih Village/Urban Cooperatives have been formed. Of these, 108 cooperatives are ready to operate as pilot units. The presence of these cooperatives will strengthen food security,” said Zulkifli Hasan, Coordinating Minister for Food Affairs and Head of the National KDMP/KKMP Task Force.
During the inauguration, President Prabowo symbolically presented Cooperative Legal Status Certificates to five representative cooperative leaders. The event also included the handover of medicine grants from the Minister of Defense to the Minister of Cooperatives Budi Arie Setiadi, as well as the handover of Intellectual Property Rights certificates for the Merah Putih Cooperative logo from Minister of Law Supratman Andi Agtas to the Head of the National Merah Putih Cooperative Task Force.
The launch was attended by the Speaker of the House of Representatives Puan Maharani, Deputy Speaker of the People’s Consultative Assembly Bambang Wuryanto, Governor of Central Java Ahmad Luthfi, the 14th Coordinating Minister for Economic Affairs Chairul Tanjung, Klaten Regent Hamenang Wajar Ismoyo, officials from State-Owned Enterprises, 8,523 village heads from Central Java, and 83 thousand village heads from across Indonesia joining online.
Kiagoos Irvan Faisal
Acting Head of the Bureau for Communication
Ministry of Creative Economy / Creative Economy Agency
