Village funds contributes to reducing poverty

Jakarta (ANTARA News)- The Ministry for Villages, Transmigration and Backward Area Development (PDTT) said it was convinced that the decline in poverty in the country was attributable to village funds.

“Certainly the big funds provided for villages have boosted rural economic growth and community development,” Secretary General of PDTT Ministry Anwar Sanusi said here on Thursday.

Anwar Sanusi said the village funds give added value for the rural communities in coping with various problems such as poverty and unemployment.

“Based on data at the Central Bureau of Statistics (BPS) poverty rate has dropped to less than 10 percent , the lowest ever in the country and the sharpest decline was recorded in rural areas. Therefore, I am convinced credit should be given to village funds for the decline in poverty in rural areas,” he said.

In addition, this year, the village funds are required to be used for labor intensive projects and 30 percent of the money are to pay the workers . The funds, therefore, are used only for productive programs and help reduce unemployment.

The government plans to increase the budget for village funds as the program is considered successful to reduce poverty, Anwar said.

He said he did not know the amount but he said it was predicted to reach up to Rp85 trillion next year depending on the financial condition of the state.

“What is certain is the budge to for village fund would be increased . This is good news. It is up to village chiefs and other stakeholders to properly and fully used the funds,” he said. Reported by Indriani (AS)

Source: ANTARA News