Indonesia prepares Rp40 trillion for Koperasi Desa loan installments

The Indonesian government has prepared approximately Rp40 trillion to cover the principal and interest installments for the Koperasi Desa/Kelurahan Merah Putih (KDKMP) loans due at the end of September 2026.

Finance Minister Purbaya Yudhi Sadewa confirmed that the funds, sourced from Village Funds, General Allocation Funds (DAU), and Revenue Sharing Funds (DBH), have been available since the beginning of the year. This measure aims to ensure timely payments to state-owned banks and maintain stability within the banking sector. The first installment is scheduled for September 27–28, 2026.

The financing scheme supports the development of outlets, warehousing, and equipment for the cooperatives. Under Ministry of Finance Regulation No. 15/2026, the government is repaying loans from state-owned banks (Himbara) to PT Agrinas Pangan Nusantara (Persero). The total planned allocation for this program is Rp240 trillion over six years, with annual payments of roughly Rp40 trillion.