Is the Koperasi Merah Putih Truly a Solution for a People's Economy?
The Indonesian economy continues to face various challenges, such as high poverty rates, economic inequality, limited access to capital for MSMEs, and uneven development between urban and rural areas. To address these issues, the government established the Koperasi Merah Putih in villages and sub-districts as an effort to strengthen the community’s economy, create jobs, and improve welfare. This programme aligns with the spirit of cooperatives as an economic pillar based on the principle of kinship, as mandated by Article 33 of the 1945 Constitution.
Behind these objectives, the implementation of the Koperasi Merah Putih has also drawn various criticisms. These range from funding readiness, the quality of human resources, and cooperative governance, to the risk of abuse of authority. Furthermore, the establishment of cooperatives in several regions is considered not based on community needs, raising concerns about their effectiveness. The policy of training administrators through military-style drills has also sparked debate, as it is deemed less relevant to the needs of cooperative management.
In Islam, economic policy is assessed not only by economic growth but also by its ability to realise public benefit and prevent harm. This is reflected in the concept of Maqashid Syariah, which includes the protection of religion (Hifz ad-Din), life (Hifz an-Nafs), intellect (Hifz al-’Aql), wealth (Hifz al-Mal), and progeny (Hifz an-Nasl).
From the perspective of Hifz ad-Din, the Koperasi Merah Putih aims to improve community welfare, aligning with the values of trust and justice in Islam. However, criticisms regarding transparency, the effectiveness of budget use, and the readiness of the cooperatives indicate that the government must ensure the programme provides real benefits, rather than merely fulfilling administrative targets. Regarding Hifz an-Nafs, the programme is expected to improve the quality of life, but military-style training accompanied by reports of participant deaths raises questions about safety and the method’s relevance. Human resource development should be directed more towards training in cooperative management, entrepreneurship, and more appropriate governance.
For Hifz al-Mal, cooperatives can be a means of strengthening community businesses through access to capital and economic empowerment. If a cooperative is not ready to operate or lacks a clear business plan, its economic benefits will not be achieved. Therefore, cooperatives must be managed professionally and in accordance with sharia economic principles to sustainably improve community welfare. The success of the cooperative heavily depends on the quality of its administrators, relating to Hifz al-’Aql. Training should therefore focus more on improving management, accounting, marketing, and leadership skills, rather than just military-style drills, enabling administrators to manage the cooperative professionally. Finally, regarding Hifz an-Nasl, the cooperative is expected to strengthen family economic resilience, benefiting future generations. Without proper planning, supervision, and governance, the cooperative risks becoming a formalistic programme with no long-term impact.
In conclusion, the Koperasi Merah Putih is a policy with a noble goal: strengthening the people’s economy and improving community welfare. Conceptually, this programme aligns with the principles of Maqashid Syariah, which are oriented towards public benefit. However, its implementation still faces various challenges, from transparency and the effectiveness of budget use, the relevance of administrator training, and human resource readiness, to the sustainability of cooperative businesses. Therefore, the Koperasi Merah Putih cannot yet be fully assessed as a solution for a people’s economy if these issues remain unaddressed. To truly realise the objectives of Maqashid Syariah, the government needs to strengthen planning, enhance accountability, organise training that suits the needs of cooperative management, and ensure each cooperative can provide tangible benefits to the community. The success of this programme is not measured by the number of cooperatives established, but by its ability to create fair, sustainable welfare that brings public benefit.