Rural Economic Inclusion through Grassroots Cooperatives and Gender Equity: Evidence from Gemapalu in East Java, Indonesia
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Abstract
Inclusive economic development is essential for reducing rural inequality and social exclusion in Indonesia, where structural barriers continue to limit financial access, gender participation, and community empowerment. This study examines the Gerakan Masyarakat Pedesaan Lumajang (Gemapalu) as a grassroots model of inclusive rural development. Using a qualitative case study approach, data were collected through in-depth interviews, participant observation, and document analysis conducted between 2021 and 2025. The findings reveal that Gemapalu promotes inclusion through three integrated pillars: cooperative-based financial services, community production systems, and local distribution networks. These initiatives are supported by participatory governance, gender-transformative practices, and digital financial innovations. Rather than merely expanding economic opportunities, Gemapalu reshapes local power relations by strengthening community agency and women's participation. The study also highlights tensions between grassroots initiatives and state-led cooperative programs, demonstrating that inclusive development is a contested process shaped by institutions, power dynamics, and evolving social relations.
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