Politics · Indonesia · 1 hr ago
Indonesia Starts Distributing Social Aid Through Village Cooperatives
Indonesia has begun distributing two social assistance programs through village cooperatives called KDKMP.
The programs are PKH, a family assistance scheme, and BPNT, which provides food aid.
A trial took place in Tambakrejo village in East Java, and the government says aid can now be collected at cooperatives that are ready to operate.
Banks from the state-owned Himbara group will set up service points there, bringing services closer to recipients.
Recipients will pay no fees and face no deductions, and they will automatically become cooperative members.
They can also use the service to buy basic goods sold by the cooperative.
The government plans to expand the system gradually, while officials inspect 10,070 cooperatives over eight days; they say conditions vary and the rollout will take time.
Indonesia has begun testing a system to distribute social assistance through village and urban-ward cooperatives.
The aid includes the Family Hope Program and non-cash food assistance.
Social Affairs Minister Saifullah Yusuf said recipients can collect the aid at cooperatives that are ready to operate.
He said bank agents will provide services at the cooperatives, bringing them closer to recipients.
Yusuf said there will be no added fees or deductions from the assistance.
- Who
- The Indonesian government, including Social Affairs Minister Saifullah Yusuf, is involved. The recipients are social assistance beneficiaries.
- What
- The government is testing distribution of cash and food assistance through village and urban-ward cooperatives.
- When
- A trial was held on October 15, 2026. The minister described the system on October 19, 2026.
- Where
- The trial included Tambakrejo village in Waru district, Sidoarjo regency, East Java.
- Why
- The system is intended to bring services closer to recipients and let them buy basic goods at cooperatives.
This story does not have two clearly opposing sides.
The government held a trial of social assistance distribution at Tambakrejo village in Sidoarjo regency.
Saifullah Yusuf said eligible assistance could be collected at cooperatives that were ready to operate.
- Assistance programs
- Family Hope Program (PKH) and non-cash food assistance (BPNT)
- Trial location
- Tambakrejo village, Waru district, Sidoarjo regency, East Java
- Trial date
- October 15, 2026
- Cooperatives to be reviewed
- 10,070
- Deduction policy
- No additional fees or deductions, according to Saifullah Yusuf
What people are saying
There will not be even one rupiah deducted.
The service is closer to beneficiaries.
10,070 cooperatives will be checked and reviewed; of course, I would say not all are good.