Indra Idris, Saudin Sijabat


This study aims to analyze the economic development of communities in the border region and the role of cooperatives and SMEs in order to alleviate poverty. Research conducted in the west Kalimantan border area and NTT. Potential border areas that can be developed based on analysis of Location Quotient (LQ), AHP and FGD results in Kupang and Pontianak, agreed on a potential commodity to be developed in the role of increases in the border region cooperatives and SMEs Belu (NTT) is cattle and corn, while for Sanggau District (West Kalimantan) is pepper and cocoa. Potential cooperatives and SMEs in Sanggau border area against Sanggau district for cooperatives contribute to 2% shares, micro business contributes to 5% and small business contributes to 2%. In border areas between Belu district and Timor Leste, cooperatives that are potential contributes to1.7% shares, micro business 3.2% shares, small business 2.3% shares, and middle business to 3% shares. The role of cooperatives and SMEs, especially Cooperative in empowering border areas is still small and has not been functioning properly for the empowerment of border communities.

To increase the role of KUMKM, a role model has been designed to increase KUMKM shares in border areas within next 5 years for border areas between Sanggau district and Malaysia, from 5% to 15% of shares contribution. Meanwhile shares contribution for border areas between Belu district and Timor Leste increase from 3% to 10%. This model is designed in accordance with the trend scenario for people who only sell raw materials without processing by creating a semi-finished goods or final products. 

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Copyright © 2015 SMECDA Jurnal. Jurnal Pengkajian KUKM (Print ISSN 1978-2896). Ministry of Cooperatives and SMEs Republic of Indonesia.