Finance Minister Confirms Civil Servant Salaries Will Still Be Distributed as Usual, Not via Kopdes

JAKARTA, KOMPAS.com - Finance Minister Suahasil Nazara stated that salaries for civil servants will not be disbursed through the Red and White Village Cooperative (Kopdes), as proposed by Minister of Cooperatives Ferry Juliantono.

For now, civil servant salaries will continue to be distributed using the existing mechanism.

"It will remain as it is; I will continue to transfer as usual," Suahasil said at the Presidential Complex in Jakarta on Tuesday (20/10/2026).

The proposal to pay civil servant salaries through the Red and White Cooperative emerged after the Ministry of Cooperatives suggested that this cooperative could serve as one of the partners for government payment distribution.

Minister of Cooperatives Ferry Juliantono indicated that the proposal for disbursing the salaries of civil servants through the cooperative has been submitted to the Ministry of Finance.

However, the mechanisms and timelines for implementation are still pending further clarity.

Ferry had previously discussed the potential for paying salaries and pensions through cooperatives with the Finance Minister during a public discussion at the Pre National Congress of the Islamic Union in Jakarta on Monday (5/10/2026).

This discussion marked the beginning of efforts by the Ministry of Cooperatives to expand the role of cooperatives in payment services for civil servants and pensioners.

The latest developments were shared by Ferry after attending a limited coordination meeting on the Red and White Village Cooperative in Jakarta on Wednesday (14/10/2026).

He stated that the proposal for paying civil servant salaries through the cooperative has been officially submitted to the Ministry of Finance.

Ferry also mentioned that the budget for payments is currently being prepared, although he did not provide specifics on the amounts, distribution mechanisms, or implementation schedules.

He assured that the plan for disbursing civil servant salaries through the Red and White Cooperative is set to be realized this year.

"Starting now, it's being submitted to the Ministry of Finance and will be ready for disbursement," he said, as reported by Kompas.com on Thursday.

Ferry confirmed that the proposal for disbursing civil servant salaries through the cooperative has indeed been submitted to the Ministry of Finance.

He also noted that the budget preparation is underway, although he has yet to detail the mechanics and schedule for implementation.