Understanding Poverty and the Role of Credit Unions

Oct 13, 2025 by wbrum.org 56 views

Understanding Poverty and the Role of Credit Unions

Poverty is often described as a lack of adequate income to meet basic needs such as food, clothing, and shelter. The economic crisis that has hit Indonesia since August 1997 has now had a significant impact on various levels of society, especially community groups with weak economic status. As a solution to face these challenges, the community began to form social groups based on the principle of kinship and the similarity of conditions, namely savings and loan cooperatives, or better known as Credit Union (CU). Credit Unions are a forum for individuals to gather and try collectively, so it is expected to overcome the economic problems faced by their members.

The Importance of Credit Unions in Improving Welfare

Credit Unions act as a tool for weak economic groups to help each other and build independence, in order to meet daily needs and improve the standard of living. In addition, CU provides a platform for individuals to access financial services, such as savings, loans, and credit, which can help them to improve their economic status. The ultimate goal of Credit Unions is to improve the welfare of their members, which is the ideals of every human being. To achieve it, efforts are needed both individually and in groups based on the principle of kinship and mutual cooperation.

The Study on Community Response to Cu Arih Ersada

This study aims to determine the community's response to the programs offered by Cu Arih Ersada and the extent to which the program contributes to improving the welfare of its members. The study involved all members of CU Arih Ersada as a population, with a sample of 30 people. To collect data, a questionnaire is used consisting of closed and open questions, as well as descriptive research methods. The results were obtained through interviews and observations conducted in the field. The data obtained is then processed and tabulated for further analysis.

The Positive Response of the Community to Cu Arih Ersada

Based on the results of the study, it is known that the community's response to the CU Arih Ersada program was very positive. This is reflected in understanding, attitudes, and community participation that shows high enthusiasm to join as members. The increase in the number of CU members from year to year is an indication that this CU develops and attracts many people. The more members who join, the greater the capital flow that can be managed by Cu Arih Ersada.

The Real Impact of Cu Arih Ersada on the Community

This positive response is also seen from the real impact felt by members. They reported significant changes in welfare and economic conditions after joining CU. This shows that Cu Arih Ersada not only functions as a financial institution, but also as an agent of social change that contributes to improving the quality of life of its members. The program run by Cu Arih Ersada is not only beneficial in the economic aspects, but also contributes to increasing social solidarity and mutual cooperation in the Namomirah Village community.

The Importance of Credit Unions in Supporting Local Economy

This illustrates the importance of the role of the Credit Union in supporting the development of local economy and improving the welfare of disadvantaged people. Credit Unions like Cu Arih Ersada play a crucial role in providing financial services to marginalized communities, which can help them to improve their economic status and reduce poverty. By supporting local economy, Credit Unions can also contribute to the overall development of the community.

Conclusion

In conclusion, the community's response to the Credit Union Program Arih Ersada in Namomirah Village, Pancur Batu District, Deli Serdang Regency was very positive. The program has contributed to improving the welfare of its members, increasing social solidarity and mutual cooperation in the community, and supporting the development of local economy. This study highlights the importance of Credit Unions in improving the economic status of marginalized communities and reducing poverty.

Recommendations

Based on the findings of this study, the following recommendations are made:

The government and other stakeholders should provide support to Credit Unions like Cu Arih Ersada to help them to expand their services and reach more people.
The Credit Union should continue to provide financial services to its members and work towards improving their economic status.
The community should continue to support the Credit Union and participate in its activities to ensure its success.

By following these recommendations, Credit Unions like Cu Arih Ersada can continue to play a crucial role in improving the economic status of marginalized communities and reducing poverty.

Q: What is the main objective of the Credit Union Program Arih Ersada?

A: The main objective of the Credit Union Program Arih Ersada is to provide financial services to its members and improve their economic status. The program aims to reduce poverty and improve the welfare of its members.

Q: How does the Credit Union Program Arih Ersada contribute to the community?

A: The Credit Union Program Arih Ersada contributes to the community by providing financial services, increasing social solidarity and mutual cooperation, and supporting the development of local economy.

Q: What are the benefits of joining the Credit Union Program Arih Ersada?

A: The benefits of joining the Credit Union Program Arih Ersada include access to financial services, such as savings, loans, and credit, which can help members to improve their economic status. Members also have the opportunity to participate in decision-making processes and benefit from the collective efforts of the community.

Q: How does the Credit Union Program Arih Ersada support the development of local economy?

A: The Credit Union Program Arih Ersada supports the development of local economy by providing financial services to marginalized communities, which can help them to improve their economic status and reduce poverty. By supporting local economy, Credit Unions can also contribute to the overall development of the community.

Q: What is the role of the community in the success of the Credit Union Program Arih Ersada?

A: The community plays a crucial role in the success of the Credit Union Program Arih Ersada. Members are encouraged to participate in decision-making processes and contribute to the collective efforts of the community. By working together, members can achieve their economic goals and improve their welfare.

Q: How can the Credit Union Program Arih Ersada be sustained in the long term?

A: The Credit Union Program Arih Ersada can be sustained in the long term by continuing to provide financial services to its members, increasing social solidarity and mutual cooperation, and supporting the development of local economy. The program should also continue to adapt to the changing needs of its members and the community.

Q: What are the challenges faced by the Credit Union Program Arih Ersada?

A: The Credit Union Program Arih Ersada faces several challenges, including limited resources, lack of awareness about the program, and competition from other financial institutions. However, the program can overcome these challenges by continuing to provide high-quality services to its members and adapting to the changing needs of the community.

Q: How can the Credit Union Program Arih Ersada be replicated in other communities?

A: The Credit Union Program Arih Ersada can be replicated in other communities by following a similar model and adapting it to the specific needs of the community. The program should also be supported by local stakeholders and government institutions to ensure its success.

Q: What is the future of the Credit Union Program Arih Ersada?

A: The future of the Credit Union Program Arih Ersada is promising, as it continues to provide financial services to its members and improve their economic status. The program is expected to continue to grow and expand its services to reach more people and contribute to the development of the community.