Sunday, 16 June 2019 | 11:29 WIB

Village Fund Successfully Reduces Poverty Rate of 1.8 Million People

The Minister of Village, Development of Disadvantaged Regions and Transmigration Eko Putro Sandjojo

BENGKULU, NNC - The Minister of Village, Development of Disadvantaged Regions and Transmigration Eko Putro Sandjojo said poverty rate had plunged 1.8 million people because of the assistance of village funds. The number of 1.8 million people consisted of 1.5 million in rural areas and 300 thousand in urban areas.

"Poverty in Indonesia is still concentrated in villages. The acceleration of the village fund program must be maintained so that the number of poor people continues to be reduced," he said during a visit to work in Bengkulu on Sunday (08/05/2018).

The success of poverty reduction reaching 1.8 million people, according to him, was obtained from cross-ministerial cooperation.

"Cross-ministerial cooperation also accelerates poverty reduction, be it the Social Ministry, Energy Ministry and others," he added.

Minister Eko acknowledged that there were still obstacles in efforts to reduce poverty. The main obstacle is the education of village heads in village development efforts. "60 percent of village heads in Indonesia graduated from elementary and junior high schools," he complained.

He also pointed out that many villages in Indonesia successfully manage village funds that were able to open jobs such as rural agro-tourism, and reduce urbanization rates. Absorption of village funds continued to increase since 2015 by 82.72 percent, in 2016 it rose to 97.65 percent, in 2017 it grew to 98.54 percent. Meanwhile, in 2018 the absorption of village funds reached 74,957 villages.