Ministry of Cooperatives explores pension payment role for cooperatives

The Indonesian Ministry of Cooperatives (Kemenkop) has clarified that no official decision has been made regarding the involvement of cooperatives in the distribution of salaries and pension funds for civil servants (ASN).

Secretary of the Ministry Ahmad Zabadi stated that the government is currently exploring the possibility of cooperatives serving as payment partners for retired civil servants, similar to the roles currently held by PT Pos and various banks. This initiative is part of an effort to transform cooperatives into modern, professional economic institutions and to expand their service capabilities for the public.

Zabadi emphasized that this plan is not intended to replace the functions of the banking sector or Regional Development Banks (BPD). Instead, the goal is to build a healthy economic ecosystem where cooperatives act as an alternative financial service provider to strengthen the local economy and provide better service to the community.