Banyuwangi DPRD Commission II to Summon All Cooperatives Under Diskopumdag Supervision
The Banyuwangi Regional House of Representatives (DPRD) will shortly summon all cooperatives operating under the supervision of the Office of Cooperatives, Micro Enterprises and Trade (Diskopumdag). The move comes in response to widespread public complaints about lending practices deemed detrimental to borrowers, and to ensure cooperative compliance with the latest regulations.
Chairwoman of DPRD Banyuwangi's Commission II, Emy Wahyuni Dwi Lestari, said the summons would also serve to evaluate the Online Single Submission (OSS) licensing system mandated by the central government.
"We will summon all cooperatives under Diskopumdag supervision in the near future. This is important, particularly to clarify their operational permits, which are now OSS-based," said Emy after receiving a delegation of residents on Thursday (24 April 2025).
Emy also highlighted new regulations from the relevant ministry concerning cooperatives and micro-finance institutions. She said these policy changes need to be understood collectively so that cooperatives do not misstep in conducting their business activities.
"This summons is also to convey new ministerial regulations. We cannot allow cooperatives to operate outside the rules because they do not understand the prevailing regulations," she stressed.
Emy expressed hope that the initiative would improve cooperative transparency and accountability. She added that the DPRD is prepared to provide support in terms of regulatory socialisation and oversight.
"There may be licensing obstacles where we can share solutions," said the Democrat Party politician.
Emy wants to ensure that operating cooperatives are genuinely legal, supervised and do not burden the public. "What matters most is the protection of residents as consumers," she concluded.
According to Diskopumdag Banyuwangi data, there are 1,003 registered cooperatives in Banyuwangi, of which 637 remain active. The remainder are inactive and non-operational.
Previously, hundreds of women claiming to be borrowers from micro-finance institutions had descended on the Banyuwangi DPRD offices to complain about high interest rates and collection methods they described as inhumane. Several also reported difficulty making repayments, ultimately becoming trapped in a cycle of borrowing from one source to repay another.
Chairwoman of DPRD Banyuwangi's Commission II, Emy Wahyuni Dwi Lestari, said the summons would also serve to evaluate the Online Single Submission (OSS) licensing system mandated by the central government.
"We will summon all cooperatives under Diskopumdag supervision in the near future. This is important, particularly to clarify their operational permits, which are now OSS-based," said Emy after receiving a delegation of residents on Thursday (24 April 2025).
Emy also highlighted new regulations from the relevant ministry concerning cooperatives and micro-finance institutions. She said these policy changes need to be understood collectively so that cooperatives do not misstep in conducting their business activities.
"This summons is also to convey new ministerial regulations. We cannot allow cooperatives to operate outside the rules because they do not understand the prevailing regulations," she stressed.
Emy expressed hope that the initiative would improve cooperative transparency and accountability. She added that the DPRD is prepared to provide support in terms of regulatory socialisation and oversight.
"There may be licensing obstacles where we can share solutions," said the Democrat Party politician.
Emy wants to ensure that operating cooperatives are genuinely legal, supervised and do not burden the public. "What matters most is the protection of residents as consumers," she concluded.
According to Diskopumdag Banyuwangi data, there are 1,003 registered cooperatives in Banyuwangi, of which 637 remain active. The remainder are inactive and non-operational.
Previously, hundreds of women claiming to be borrowers from micro-finance institutions had descended on the Banyuwangi DPRD offices to complain about high interest rates and collection methods they described as inhumane. Several also reported difficulty making repayments, ultimately becoming trapped in a cycle of borrowing from one source to repay another.