MPR Chair Details Effects of 'Red and White' Village Cooperatives, Issues Warning
The Chairman of the People’s Consultative Assembly (MPR), Ahmad Muzani, has stressed that the ‘Red and White’ Village/Sub-district Cooperatives (Kopdes Merah Putih) launched by the government of President Prabowo Subianto and Vice President Gibran Rakabuming Raka are a fulfilment of a constitutional mandate. The constitution stipulates that the Indonesian economy shall be organised as a common endeavour based on the principle of familyhood.
Speaking at the opening of the MPR Annual Session and the Joint Session of the House of Representatives (DPR) and the Regional Representatives Council (DPD) in Jakarta on Friday (14/8/2026), Muzani highlighted Indonesia’s achievements over 81 years of independence. These included infrastructure development, expanding education, improving health services, developing industry, strengthening agriculture, broadening social protection, and lifting millions out of poverty.
The session was attended by President Prabowo Subianto, Vice President Gibran Rakabuming Raka, high-ranking state officials, former presidents and vice presidents, political party leaders, and representatives of friendly nations.
Muzani also highlighted the Free Nutritious Meals (MBG) programme, describing it not merely as food distribution but as an investment to educate the nation and build a healthy, high-quality populace. He insisted that the implementation of both the MBG programme and the Red and White Village Cooperatives must be closely monitored to ensure good governance, proper targeting, and accountability.
“Our constitution affirms that the economy is organised as a common endeavour based on the principle of familyhood,” Muzani stated. “Cooperatives are one means of bringing democracy into economic life.”
He argued that the Red and White Village Cooperatives fulfil the mandate that Indonesia’s economic development must not be left entirely to free-market competition, which makes the strong more powerful and sidelines the weak. “Through cooperatives managed soundly and professionally, farmers can strengthen their bargaining position, fishermen can gain market access, micro-entrepreneurs can grow, the distribution of essential goods can be shortened, and economic added value can be enjoyed by the community,” he said.
Muzani added that a cooperative is not just a business entity but a spirit of progressing together. “Therefore, the success of a cooperative is measured by the growth of productive economic activities, increased members’ income, strong governance, and greater community self-reliance,” he said.
President Prabowo Subianto had previously ordered that the distribution of subsidised goods, such as fertiliser and LPG, be channelled through the Red and White Village Cooperatives to prevent misappropriation and ensure they reach the people who need them.