Manpower Minister Yassierli, speaking at a press conference after the MoU signing here on Tuesday, noted that the agreement was inked following several weeks of discussions between the two ministries.
He explained that with approximately 80 thousand village cooperatives established, the initiative is expected to generate up to two million jobs.
"This strategic program can drive economic empowerment and also create new jobs," he highlighted.
Furthermore, the collaboration will involve the Ministry of Manpower's job training centers (BLK) and involve communities across various regions and provinces.
"Of course, this can be developed further. Good cooperative management requires good human resources, too. We, at the Ministry of Manpower, are ready and happy to provide our support," the minister affirmed.
Meanwhile, Cooperatives Minister Budi Arie Setiadi stated that his ministry will follow up on this collaboration through a pilot project of the Red and White Village Cooperatives, which will be launched in Klaten, Central Java, on July 19, 2025.
He underlined that village cooperatives require skilled human resources for their operations.
The minister expressed hope that the strategic program would help reduce urban migration, foster a positive economic environment for village communities, advance village development, and eradicate extreme poverty, which he said, is predominantly found in villages.
The Indonesian government has envisaged Red and White Village Cooperatives as hubs of economic and social services in village communities that offer savings, loans, and clinic services, among others.
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Translator: Arnidhya Nur, Raka Adji
Editor: Primayanti
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