In a statement released on Friday, Harlina, the Director General of Economy and Investment in Villages, Disadvantaged Regions, and Transmigration at the ministry, stated that out of a total of 49,056 BUMDes in Indonesia, 14,326 already have legal status.
She emphasized that by obtaining legal recognition, BUMDes would have an easier time forming business partnerships, which could create more opportunities to improve the village economy.
Harlina informed that as of June 2023, at least 5,824 BUMDes were in the process of rectifying their documentation for the legal entity application, while 506 were still in the registration process.
She expressed her hope that with legal status, BUMDes would have more confidence in collaborating with other parties and have greater bargaining power.
"This includes seeking new models of innovation and breakthroughs that will undoubtedly contribute to the prosperity of village residents," she added.
Harlina expressed her expectation that participants in the BRILiaN Village program, organized by state-owned bank BRI, could enhance their status by optimizing the village's potential, including through the management of village funds to improve their communities.
As of 2023, the total village funds disbursed to villages in Indonesia have reached Rp450 trillion (approximately US$29.92 billion).
She stated that she anticipates village funds will be strengthened to address poverty, strengthen BUMDes, and develop productive economic enterprises.
"The various types of training provided in the BRILiaN Village program will undoubtedly contribute to further village development in 2023," said Harlina.
The New BRILiaN Village is a village incubation program organized through collaboration between BRI and Padjadjaran University's Center for Management and Business Studies and Master of Integrated Microfinance Management.
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Translator: Ajat Sudrajat, Raka Adji
Editor: Anton Santoso
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