Minister Purbaya Denies Kopdes Manager Salary of IDR 16 Million: UMP is Slightly Less
Finance Minister Purbaya Yudhi Sadewa has denied public reports that the government will pay managers of the Merah Putih Village Cooperatives (KDMP) a salary of Rp16 million per month.
According to him, that figure is far too high. Purbaya even said he had heard that the salary prepared for the kopdes managers was around the provincial minimum wage (UMP) or slightly less.
“If it’s Rp16 million, that’s definitely wrong. It seems too big. I heard it’s just around the UMP, a bit less, and even that is still too high,” Purbaya said at his office in Jakarta on Wednesday (5/8/2026).
Nevertheless, Purbaya admitted he did not yet know the exact salary figure the government has prepared for the kopdes managers. What is clear, he said, is that he personally would not agree if the salary reached Rp16 million.
“It won’t be that much. We haven’t seen the figure yet, but it definitely won’t be that much. If it were that much, we simply wouldn’t approve it. It’s settled at around the UMP,” Purbaya explained.
As is known, the government is still preparing a special scheme to finance the initial operations of the Merah Putih Village/Sub-district Cooperatives (KDKMP).
One element of this scheme is that the cooperative managers’ salaries will be covered by the State Budget (APBN) for the first two years.
Cooperatives Minister Ferry Juliantono said this provision will be included in a Presidential Regulation on the Governance of Merah Putih Village/Sub-district Cooperatives, which is currently being finalised.
The regulation will also govern various aspects of cooperative management, including the salary mechanism for managers.
However, Ferry was not yet willing to disclose the salary amount that managers of the Merah Putih Village/Sub-district Cooperatives will receive.
“(The managers’ salaries are sourced from) the APBN. For the time being, the APBN will cover it for two years,” Ferry said when met at The Westin, Jakarta, on Tuesday (28/7/2026).