Government targets new Cooperatives Law for completion this year
The replacement for Law No. 25/1992 is being drafted to let cooperatives enter strategic sectors, including idle wells and a cooperative bank.
The government aims to pass the Cooperatives Bill this year, replacing Law No. 25 of 1992, which it considers no longer adequate for the sector’s development. Minister of Cooperatives Ferry Juliantono said the old law is no longer relevant as a foundation for developing cooperatives in Indonesia. At a Great Institute seminar in Jakarta on Tuesday, Ferry also outlined plans to make Ikopin University a public service agency for education under the Ministry of Cooperatives to help prepare more professional cooperative managers. The move is linked to the formation of Koperasi Desa/Kelurahan Merah Putih in various regions. The government is also opening the door to expanding cooperatives’ role in strategic sectors, including managing community oil wells, idle oil wells, and possibly reviving cooperative banks.