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This study aims to describe how the village innovation strategy was responded by village level policy makers. The Village innovation strategy aims to improve the quality of the use Village Fund which can encourage productivity and economic growth in rural areas as well as build sustainable village capacity to improve the socio-economic welfare of the community and the independence of the Village. With a case study approach, as a field research in the village in our local government we interviewed the District Innovation Team, the Village Innovation Implementation Team, experts appointed by the local government to develop village and village officials. In addition, we also conducted observations on village innovation data. We identified several challenges in the implementation of the village innovation strategy, namely the political element inherent in the village head which had an impact on the low willingness in village development, weak ideas or ideas that were implemented by village policy makers, lack of creativity in exploring village potential. In overcoming these challenges, the role of innovative behavior from policy makers at the village level is one of the main bases that must be embedded in the successful implementation of the strategy. With an exploration strategy approach, entrepreneurial strategies and open and collaborative approaches from various parties are also needed in the successful implementation of innovation strategies. The development of future research related to innovation strategies that are relevant to the characteristics of rural communities is still very much needed.