Indonesian Political, Business & Finance News

Village Economy Accelerated: Prabowo Builds Bridges and Cooperatives

| Source: CNBC Translated from Indonesian | Economy
Village Economy Accelerated: Prabowo Builds Bridges and Cooperatives
Image: CNBC

Village development is a primary focus for President Prabowo Subianto, who detailed the strategy during his state address. The government’s policy direction centres on three main aspects: strengthening the village economy, building basic infrastructure, and expanding access to public services. The administration views villages as the foundation of national economic resilience, citing the ability of the people’s economy to withstand pressures during past crises.

To improve efficiency, the government is accelerating village connectivity. President Prabowo stated that children should no longer risk their lives crossing rivers to get to school. In the first eight months of 2026, the Indonesian National Armed Forces (TNI) built 2,500 village bridges, while the National Police constructed an additional 874. The government is targeting the completion of more than 5,000 village bridges by the end of the year.

Access to clean water is another critical component. The President noted that many villagers still walk kilometres to fetch water. To address this, 3,000 village water points have been established so far in 2026.

On the economic front, the government is expanding the ‘Merah Putih’ Village Cooperative programme. President Prabowo reported that 10,000 cooperatives are currently operating. These cooperatives are designed to act as offtakers for local produce, equipped with their own transportation to prevent harvests from rotting due to lack of market access. The ultimate target is to have 30,000 cooperatives operating optimally by the end of 2026, ensuring that farmers and fishermen can sell their goods efficiently without suffering losses.

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