Indonesian Village Showcases Successful Rural Economic Development Model

RRI.CO.ID, Semarang - Indonesia's Minister of Villages and Development of Disadvantaged Regions, Yandri Susanto, praised Tuntang Village in Semarang Regency, Central Java, for successfully maximizing its local economic potential. The village has developed several community-based businesses, including catfish farming, melon cultivation, and goat farming to strengthen food security.

The minister said the village demonstrated how rural communities could achieve economic independence through proper management of village funds and local resources. He expressed optimism that other villages across Indonesia could replicate the same development model.

“Extraordinary. The village-owned enterprise is something remarkable in utilizing village funds. Tuntang Village deserves to become an example for villages across Indonesia because it uses village funds in line with the programs of the Ministry of Villages and Development of Disadvantaged Regions,” Yandri said during his visit on Sunday May 24, 2026.

The melon and catfish cultivation projects are managed by the village-owned enterprise BUMDesa Tuntang Sejahtera using village fund allocations. The initiatives have contributed to village revenue, which reached Rp1.6 billion in 2026 alongside other income sources.

According to the ministry, the achievement reflects the importance of productive and accountable use of village funds to support sustainable rural development. The programs are also part of the ministry’s thematic village initiative included in its 12 strategic action plans.

Minister Yandri also said the government is currently encouraging villages to develop export-oriented commodities with strong market potential. He added that the ministry is collaborating with various government agencies and international partners to expand overseas access for village products.

“There is strong demand for ginger, coffee, bananas, potatoes, and shallots. We only need to map which villages can become export villages because there are already 59 countries ready to purchase products from Indonesian villages,” he said.

In addition to agricultural and livestock programs, Tuntang Village has also completed the construction of the Merah Putih Village Cooperative office to support local supply distribution. The minister emphasized that the cooperative is expected to strengthen the local economy without disrupting the growth of small and medium-sized enterprises in the area.