Brebes, July 30–31, 2025 – Four lecturers from the Economics Study Program at Diponegoro University conducted a Community Service activity entitled “Economic Development Study in Brebes.” This activity was conducted in collaboration with the Brebes Regency Research and Development Agency (Baperlitbangda) and PT Tirta Utama Jawa Tengah, led by Prof. F.X. Sugiyanto. On July 30, the team met with Mr. Anjas from the Economics, Regional Infrastructure, and Natural Resources division, and Mr. Catur Raharjo Febrayanto from the Brebes Baperlitbangda.
The discussion addressed the problems faced by village-owned enterprises (BUMDes) and cooperatives, which generally operate in a “living, dying, living” situation. Most BUMDes operate in savings and loans, often experiencing bad debts due to a lack of repayment awareness, weak management, a lack of ownership, the absence of administrative sanctions, and low managerial accountability. Many trading businesses have closed, and revolving livestock assistance has failed to develop the community’s economy due to a short-term mindset.
After visiting Baperlitbangda, the team continued their visit with Fitri Sulistianingsih, SE, Head of the Community Economic Empowerment Division at the Brebes Village Development Agency (Dispermades), an alumna of the Economics Study Program at Diponegoro University (UNDIP). In the discussion, she explained the condition of Village-Owned Enterprises (BUMDes) in Brebes, which are categorized into four levels: pioneering, beginner, developing, and advanced.
Of the hundreds of BUMDes, most are still in their early stages, with only a few reaching the developing category and only two BUMDes categorized as advanced. BUMDes in Brebes generally operate savings and loans, trade, or service businesses, with the goal of stimulating the village economy and increasing village revenue (PAD). However, challenges such as business management, fund management, and community participation remain major obstacles to improving BUMDes performance and sustainability.
On July 31, the team met with Sapto Aji Pamungkas, Head of Cooperatives at the Brebes Regency Cooperatives, Micro Enterprises, and Trade Office (Dinkopumdag). This meeting discussed the prospects and readiness of the Merah Putih Village Cooperative (KDMP) in Brebes, a village cooperative model based on togetherness and mutual cooperation to strengthen the rural economy.
Despite its potential as a driver of the local economy, its implementation still faces numerous challenges, ranging from management limitations to operational constraints. Going forward, plans are underway to implement further community service programs focused on mentoring Village-Owned Enterprises (BUMDes) in Brebes, with the goal of strengthening institutions, increasing management capacity, and promoting village economic independence.
