Local Government Action for Developing Primary Cooperatives in Indonesia

Cooperative have played critical roles in socio-economic development although their failures are still existed in several countries. Therefore, the role of the government in developing cooperative should focused on empowering cooperatives by meeting cooperative development with the cooperative values and principles. This paper focused on the appropriateness of local government action in developing primary cooperatives with cooperative values and principles. The study relied heavily on descriptive research method. The result showed that strategy of local government – especially Malang District local government – focused on strengthening individual member businesses and cooperative's financial capacity that was not meet with cooperative values and principles.