Pattern / Model of Community Empowerment of Village Community Self-Supporting Development (Community Capacity Building) Financial and Business Management Unit (FBMU) to Increase the Economic Growth of Cooperatives and Micro, Small-Medium Enterprises (CMSME) in Kediri

Muchson, Muchamad (2017) Pattern / Model of Community Empowerment of Village Community Self-Supporting Development (Community Capacity Building) Financial and Business Management Unit (FBMU) to Increase the Economic Growth of Cooperatives and Micro, Small-Medium Enterprises (CMSME) in Kediri. Journal of Economics and Sustainable Development, 8 (18). pp. 74-82. ISSN 2222-2855

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Abstract

The Government of East Java Province through Community Empowerment Board has a program, Community Capacity Building-CCB ( the development of village self-supporting ) conducted by Community Empowerment Office of Kediri implemented by Financial and Business Management Unit (FBMU) in the village. Basically, Financial and Business Management Unit (FBMU) is Micro Financial Institution (MFI) that distributes the fund to Productive Economic Unit (PEU) Near-Poor Household (NPH) and Productive Economic Unit (PEU) Self-Managed of Financial and Business Management Unit (FBMU).The purpose of this program is increasing the income and welfare of Near-Poor household (NPH) participating in community group that has Productive Economic Unit (PEU).The purpose of this research is analyzing a pattern or model of the empowerment of Community Capacity Building program (the development of village self-supporting) to increase economic growth of Cooperatives and Micro, Small-Medium Enterprises (CMSME).The result of this research shows that Community Capacity Building (the development of village self-supporting) has fulfilled elements of the model according to: 1) community empowerment model according to Mardikanto ( 2010 ) consisting of: a ) program, b ) the target, c ) the purpos, d ) the approach, e ) the stage, f ) the method, g ) the facilitators, h) monitoring and evaluation. 2 ) empowerment model according to Ismawan ( Priyono, 1996 ) consisting of: a) development of human resources, b) institutional development of the group, c ) The accumulating of community capital (private), d ) The developing of productive business, e ) providing the appropriate information.The empowerment seen not only from the distribution of fund, human resource development of Financial and Business Management Unit (FBMU) and Community Group (CG) Near-Poor Household (NPH) but also it is seen from the existence of Productive Economic Unit (PEU)-Self-manages of Financial and Business Management Unit (FBMU) and Productive Economic Unit (PEU)-Near-Poor Household (NPH). The target of the empowerment of Community Capacity Building should not be limited only for Near-Poor Household (NPH) concerning to raise the revenue but also that is for every community (CG) who has Productive Economic Unit (PEU) and an entrepreneur character because usually Near-Poor Household (NPH) does not have source of earning power to support the management of Productive Economic Unit (PEU) and the character of entrepreneur, so the loan (program) could be used for the household need (consumptive).

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