Government Encourages Digitalization of Red and White Village Cooperatives Across Indonesia
Jakarta – Bank Mandiri’s Director of Risk Management, Danis Subyantoro, emphasized the bank’s support for strengthening village cooperative institutions so they can become independent and modern drivers of the local economy.
“Bank Mandiri supports the strengthening of village cooperative institutions so they can become independent drivers of the local economy,” Danis said in the Public Expose of PT Bank Mandiri (Persero) Tbk’s Second Quarter 2025 Financial Report.
This support aligns with the government’s continued efforts to boost the digitalization of Red and White Village/Sub-District Cooperatives (KDKMP) through the Simkopdes platform. The Red and White Village/Sub-District Cooperative Information System is designed as an official platform to digitally introduce the legality, vision, mission, and superior products of village cooperatives to the public.
This transformation is projected to impact all regions of Indonesia, ensuring village cooperatives have an official identity and can connect directly to the national digital ecosystem.
By mid-2025, approximately 150 KDKMPs had received mentoring, with more than 1,300 participants trained to improve their human resource and cooperative management capacity. This program goes beyond training and also provides access to capital and digital transaction solutions for village cooperatives.
Through the Livin’ Merchant application, cooperatives are encouraged to expand their service reach, increase the competitiveness of local businesses, and facilitate transactions for their members.
Acting President Director of LPDB, Krisdianto, stated that digitalizing cooperatives is a key government agenda.
“This socialization and technical guidance are part of the Ministry of Cooperatives and LPDB’s commitment to creating village cooperatives that are more adaptive to current developments. Through Simkopdes, KDKMP not only have an official online identity but can also connect to the national digital ecosystem,” said Krisdianto.
Digitizing village cooperatives is believed to strengthen transparency, expand partnership networks, and enhance credibility in the eyes of partners and potential investors. Thus, village cooperatives can become centers of economic growth capable of leveraging technology to expand their markets.
Bank Mandiri affirmed its commitment to supporting this initiative through strong liquidity. As of June 2025, Bank Mandiri’s Third Party Funds (DPK) reached IDR 1,459.9 trillion, an increase of 11.2 percent compared to the previous year. Productive microcredit also grew 12.6 percent year-on-year through the second quarter of 2025, demonstrating the banking sector’s significant contribution to strengthening the people’s economy.
The government aims to establish the Merah Putih Village/Sub-district Cooperatives throughout Indonesia as a driving force for a strong, independent, and modern village economy. With this initiative, the digitalization of village cooperatives will become part of the national strategy to build an inclusive, village-rooted economy for Indonesia.
[w.R]
