Indonesia Boosts Coastal Village Economies with Red and White Cooperatives

Indonesia’s coastal villages are getting a boost through cooperative programs, aiming to strengthen the blue economy and boost maritime and fisheries industries. The government is encouraging the use of special zones like National Tourism Strategic Areas (KSPN) in coastal regions as new economic growth centers to support the national target of 8 percent economic expansion. The initiative seeks to improve the welfare of coastal communities while ensuring sustainable use of natural resources, in line with President Prabowo Subianto’s Astacita agenda. The Ministry of Home Affairs is leading the transformation through the Red and White Village Cooperatives program, which is part of a joint commitment to implement Presidential Instruction No. 9 of 2025. The program aims to enhance local governments’ role in managing cooperatives integrated with marine tourism sites in strategic areas. The government is also collecting data on Red and White Cooperatives in coastal tourism zones to design policy recommendations and align perspectives among central and regional authorities. The Ministry of Cooperatives is assigning business facilitators to assist cooperatives with documentation, reporting, and sustainable operations. The Ministry of Maritime Affairs and Fisheries emphasizes that developing Red and White Fishermen Villages through end-to-end integration could raise productivity and community income. Inter-ministerial synergy is crucial to strengthen institutions, improve operations, and maximize the economic potential of Indonesia’s coastal regions.

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