Growing The Village Economy Through Village-Owned Enterprises (Bumdes) Governance

Abstract

This study aims to analyze the governance of the Creative Village-Owned Enterprise (BUMD) in Bukit Baru Village, North Kolaka Regency, in enhancing village economic growth. The study focuses on aspects of planning, implementation, organization, and supervision, as well as their impact on village original income (PADes), infrastructure development, job creation, and community income growth. The research method used was a qualitative descriptive approach, with data collection techniques through observation, interviews, and documentation. The results indicate that BUMDes governance has been running quite well, although it still faces challenges. In terms of planning, BUMDes has developed a phased business program, but community participation remains low. In practice, the patchouli distillation business unit is a major contributor to village revenue (PADes) and community income, while the furniture and credit businesses are less popular. Organization has been carried out according to a formal structure, but community ownership still needs to be strengthened. Oversight remains informal with limited transparency.  The impact of the BUMDes' existence is evident, including increased PADes (Vocational Income), support for village infrastructure development, job creation, and increased community income through easier access to production facilities. Thus, the Creative BUMDes in Bukit Baru Village plays a crucial role as a driving force for the village economy, but requires strengthening aspects of participation, managerial capacity, and management transparency for business sustainability.