Dompet Dhuafa and West Sumatra Provincial Government Boost Post-Disaster Economic Recovery through Interest-Free Financing

In Padang, Chairman of the Dompet Dhuafa Republika Foundation Board, Ahmad Juwaini, along with management representatives, signed a Memorandum of Understanding (MoU) with the West Sumatra Provincial Government. The signing aims to strengthen collaboration in poverty alleviation programmes in West Sumatra, particularly economic empowerment for disaster survivors.

The MoU was directly signed by Governor Mahyeldi Ansharullah on Tuesday (5/5/2026). The event was attended by representatives from the Padang City Government, the Rectorate of Andalas University, and several board members from nine Baitul Maal wat Tamwil (BMT) institutions in West Sumatra that are collaborators in Dompet Dhuafa’s MUFAKAT (Beneficial Business Capital for the Community) programme.

Dompet Dhuafa also invited representatives from the MUFAKAT programme’s BMT collaborators to participate in the MoU signing ceremony. Dompet Dhuafa further solidified cooperation frameworks with the West Sumatra Provincial Government and Padang City Government in efforts to eradicate poverty.

This partnership focuses on strengthening the micro, small, and medium enterprise (UMKM) sector through sharia-based microfinancing without interest. Ahmad Juwaini hopes that this collaboration will enable more initiatives and bring greater benefits to the community.

“Thus, it can help improve the welfare of West Sumatra’s residents. In response to the floods and Galodo in West Sumatra, Dompet Dhuafa has distributed at least nearly six billion rupiah, rolled out in various programmes ranging from emergency response, education, health, economy, and temporary housing provision,” said Ahmad Juwaini.

Governor Mahyeldi welcomed the presence of Dompet Dhuafa’s management and the attending guests. The opportunity was used to sign several cooperation agreements with various parties.

“I immediately recall a few years ago when there was an earthquake, then floods and landslides. I also know that Dompet Dhuafa provides scholarships, health services, and much more. This cooperation is in the context of helping communities affected by the recent floods and landslides. This is important as support from all of us for disaster-affected communities to rise again. With limited regional budgets, the cooperation between the West Sumatra Provincial Government and Dompet Dhuafa greatly helps the affected communities,” said Mahyeldi.

The gathering concluded with the signing of cooperation agreements between Dompet Dhuafa and the West Sumatra Provincial Government and Padang City Government. There was also an MoU signing between the Indonesian Empowering Entrepreneurship Foundation (YWIB), which implements Dompet Dhuafa’s economic empowerment programmes, with Andalas University and several MUFAKAT programme BMT collaborators.

At the end of the session, Ahmad Juwaini presented the BINGKAS photo book, a work by Dompet Dhuafa journalists, which presents a summary of photographs of the hydrometeorological disaster response in West Sumatra, North Sumatra, and Aceh some time ago. West Sumatra Governor Mahyeldi enthusiastically turned page by page of the book. The documentation in the BINGKAS book serves as tangible evidence of Dompet Dhuafa’s contributions in helping communities, especially affected residents.