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JAKARTA - Minister of Villages, Development of Disadvantaged Regions and Transmigration (Mendes PDTT) Abdul Halim Iskandar asked Village-Owned Enterprises (BUMDes) not to kill the businesses of local villagers.

"I have emphasized that BUMDes cannot open a business unit that can kill people's businesses," said Mendes PDTT in a written statement received in Jakarta, Friday, March 18.

He said that one of the goals of the establishment of BUMDes was to improve the welfare of rural communities. This philosophy requires the existence of BUMDes to be able to consolidate existing business units in the village so that they are stronger and revive community businesses.

"This is what we must provide understanding to village heads and BPD (Village Consultative Body) including understanding that BUMDes do not have to contribute to Village Original Income (PADes)," he said when opening the Technical Coordination Meeting for Strengthening BUMDes and Accelerating the Establishment of BUMDes with former DBM Managers. National Program for Independent Rural Community Empowerment (PNPM-MPd) 2022.

He explained that the main role of BUMDes was to be able to consolidate all community business units in the village to be able to grow together. If PADes can increase because of the profits from BUMDes, that is a bonus.

However, he said, the existence of BUMDes must prioritize the interests of the village community, such as assisting residents' businesses from the production process to marketing.

Meanwhile, the Director General of Village Economic Development and Investment, Kemendes PDTT Harlina Sulistyorini said that of the 39,854 BUMDes, 29,043 BUMDes had registered their names with the Kemendes PDTT, and 10,811 BUMDes had registered legal entities with the Kemenkumham.

Of the 1,896 Joint BUMDes, 1,805 have registered names with the Kemendes PDTT and 91 units have registered legal entities. Meanwhile, from the 496 BUMDes Village Financial Institutions (LKD), 307 have registered names and 189 units have registered with the Kemenkumham


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