Minister Yandri Susanto said the funding amounts to about Rp550 million (US$32,000) per village, targeting 15,000 out of the country’s 23,000 developed villages.
“We will shift villages from developed to independent. There are currently 23,000 developed villages, and we aim to elevate 15,000 of them,” Susanto told reporters.
He said the ministry sought the World Bank’s involvement due to limited state budget resources. The Bank, he added, has expressed readiness to support the initiative, though further technical discussions are still required.
Following Monday’s meeting, the government said it was optimistic the collaboration between the Ministry and the World Bank would begin in early 2026 and run for five years, provided there are no major obstacles.
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Susanto said the funding will back key ministry programs focused on food self-sufficiency, green economy development, and thematic village initiatives that promote local production centers.
“For example, the thematic villages and production hubs we have built will also help prepare raw materials for the free nutritious meals (MBG) program, followed by the Merah Putih village cooperative initiative,” he said.
He emphasized that the project aims to create a sustainable rural economy by strengthening local production and community-based enterprises.
Monday’s meeting also involved National Development Planning Agency (Bappenas) head Rachmat Pambudy to discuss aligning the project with national strategic programs.
“All national strategic programs implemented by ministries and institutions must start and end at Bappenas to ensure they are properly registered and coordinated,” Susanto said.
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Translator: Resinta Sulistiyandari
Editor: Rahmad Nasution
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