DPR Has No Authority to Close Alfamart and Indomaret Outlets, Says Said Abdullah

SURABAYA — The Chairman of the House of Representatives’ (DPR) Budget Committee, Said Abdullah, has responded to circulating reports suggesting that the DPR supports the Village Minister’s plan to close modern retail outlets such as Alfamart and Indomaret in order to strengthen Village Cooperatives.

Said firmly stated that the reports are inaccurate. He explained that the DPR does not have the authority to close or revoke business licences for modern retail operations.

According to him, such authority rests entirely with the executive branch, including the Ministry of Villages, Disadvantaged Regions Development and Transmigration, as well as relevant technical ministries such as the Ministry of Cooperatives and SMEs and the Ministry of Trade.

“We must emphasise that the DPR has never made a decision to close any modern retail business. The DPR carries out legislative, budgetary, and oversight functions. Matters concerning business licences and company operations fall under the government’s authority as the implementer of legislation,” Said Abdullah stated in Jakarta on Monday (23/02/2026).

The legislator, who also serves as Chairman of the PDI Perjuangan central executive board, explained that the discourse emerged from discussions on strengthening Koperasi Desa Merah Putih (Red and White Village Cooperatives) as part of the rural economic development strategy.

“In a number of working meetings and official forums, aspirations have developed for village cooperatives to be given greater room to grow amidst business competition,” he said.

However, he noted that the discourse does not constitute a formal DPR decision, but rather forms part of policy discussions aimed at strengthening the people’s economy.

According to Said, at the national level, the government continues to promote the strengthening of cooperatives and MSMEs as the backbone of the people’s economy. Based on data from the Ministry of Cooperatives and SMEs, MSMEs contribute more than 60 per cent to national Gross Domestic Product (GDP) and absorb approximately 97 per cent of the workforce.

“Meanwhile, the development of village cooperatives is part of the agenda for economic equity and community-based poverty alleviation,” he said.

It is within this context that the idea has emerged for the business ecosystem in villages to be more supportive of local business operators. However, Said Abdullah stressed that strengthening cooperatives must not be interpreted as an effort to destroy other businesses.