The Indonesian government has announced plans to help its migrant workers by providing financial support through cooperatives. This initiative is a joint effort by the Ministry of Cooperatives and the Ministry of Migrant Workers Protection (P2MI) to make life easier for workers preparing to go abroad and those returning home.
Deputy Minister of Cooperatives, Ferry Juliantono, said that many migrant workers face financial challenges when preparing for overseas jobs. They need money for things like document processing, training, and travel. To solve this, the government will provide funding through the Fund Management Institution for Cooperatives, Micro, Small, and Medium Enterprises (LPDB-KUMKM).
By working with LPDB-KUMKM, the government aims to turn migrant worker cooperatives into platforms that can empower workers economically. These cooperatives will help workers access loans and other financial support more easily.
Deputy Minister of P2MI, Christina Aryani, explained that migrant workers often find it hard to get loans from banks. Programs like People’s Business Credit (KUR) have not been enough to meet their needs. Over the years, millions of workers from regions such as East Java, Central Java, West Java, West Nusa Tenggara, and Lampung have left for jobs abroad. Most of them struggle to fund their journey.
LPDB-KUMKM President Director Supomo said the institution will support migrant worker cooperatives by providing funding and training. He also stressed the importance of having clear rules to make sure the loans reach the workers and are used for the right purposes.
In addition to funding, the program aims to train cooperative leaders and provide financial literacy to migrant workers. This will help them manage their money better and invest in small businesses when they return home.
This new collaboration between the government and cooperatives is expected to make a big difference. It will ease the financial burden on workers, help them achieve their goals, and strengthen cooperatives as part of Indonesia’s economy.