Introductory Remarks of President of the Republic of Indonesia at a Limited Cabinet Meeting (Through Video Conference) on Acceleration of Village Economic Development, Thursday, 24 September 2020, at the State Palace, Jakarta

Bismillahirrahmanirrahim.

Assalamu’alaikum warahmatullahi wabarakatuh,

Good morning,

May prosperity be upon us all.

Distinguished Vice President,

Distinguished Cabinet Ministers.

In the Limited Cabinet Meeting this morning we will discuss the acceleration of village economic development. I would like to re-emphasize that the pandemic we face must become an opportunity to reinstall, improve, and implement reforms on the grand strategy in transforming village economy. We are aware that the pandemic hits not only all communities in urban areas but also in rural areas. And when an economic crisis occurs in urban areas, the village becomes a buffer, due to the migration from cities to villages. It is not urbanization, it is de-urbanization. Therefore, there are several things to be highlighted.

First, in the short term, all program schemes related to social safety nets, including the PKH (Family Hope Program), cash assistance, and village cash assistance must be well-targeted, effectively implemented, and distributed to the people in villages affected by COVID-19 and those in dire need. By the same token, the implementation of cash for work in villages must be monitored so that it can reduce the burden on village communities who have lost their jobs, have difficulty in getting jobs, or come from low-income families.

Second, use the opportunity to integrate and consolidate programs to reduce poverty and programs to improve the economy of villages. I order all ministries to avoid making non-integrated programs, which will make the outcome and the results not visible. The programs must be properly integrated. For example, Ministry of Villages ensures that village funds are used productively; Ministry of Public Works and Public Housing provides basic infrastructure; Ministry of Transportation facilitates connectivity; Ministry of Social Affairs supports underprivileged citizens; and Ministry of MSMEs supports small business sector and micro enterprises. I think there are a lot of things to be done, but if it is not integrated, the result will not be visible. Therefore, everything must be carried out with a solid and integrated strategy.

Third, strengthen the village economic leverage. Every village needs to develop its potential, in terms of agriculture, village tourism, and village industries. Opportunity for participation must be provided for villagers to develop their potential. I think in the event that the progress is visible, it must be facilitated, and access must be provided in terms of capital, technology, as well as in terms of skills. And cooperation among villages must be encouraged so that the villages can access a wider supply chain and business sectors in villages can upscale the capacity.

I think that concludes my introductory remarks.

Translated by Ridwan Ibadurrohman
Reviewed by Yuyu Mulyani