Implementation of Community Development Model As A Strategy for Institutional Strengthening and Village Empowerment

Abstrack:

This study aims to implement community empowerment model for institutional capacity building of cooperative, farmer groups and small business groups in the Pasuruhan Village of Binangun District, Cilacap Regency. This study uses cooperative inquiry as a form of action research. Data was collected through focus group discussions (FGD), interviews, and observation and documentation analysis. Informants have been purposively selected and determined based on consideration of the researcher that the informants were able to meet the research objectives. Informants were selected consisting of cooperative management, group farming, catfish farmers, and small business group. The results showed that people have already got easy access to the bank. However in some cases problems of confidence arise between banking and community. In general, people became more understood and confidence in the credit lending business which is healthier, lighter and safer through official banking instead of through the loan sharks. Community also understands business credit lending procedures. Finally, a partnership could be established between the economic institutions in the Pasuruhan village which are cooperative, a group of farming and small business group with the financier, Bank Rakyat Indonesia (BRI) through Productive Business Loan Program.

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