Fisheries Microfinance Expected to Set 3% Interest Rate

President Jokowi shake hands with fishermen at the inauguration of fisheries microfinance at Karangsong beach, Indramayu, West Java, Wednesday (6/6) (Photo by: Oji/ Public Relations Division of Cabinet Secretariat).

President Joko “Jokowi” Widodo has asked the Financial Services Authority (OJK) to study the possibility for fisheries microfinance or fisheries micro bank to cut the interest rate from 7% to 3% in order to provide working capital for fishermen.

The President made the statement in his remarks at the inauguration of fisheries microfinance at Karangsong beach, Indramayu, West Java, Wednesday (6/6).

“This is a Public Service Agency (BLU), a nonprofit entity and is funded by State Budget. The most important thing is that the microfinance can provide revolving loan fund for fishermen to support their business” the President said.

President Jokowi explained that the Government set up the fisheries microfinance to resolve the complaints from fishermen regarding working capital and reminded the fishermen who attended the event to use the loan for productive things, not for consumptive one.

“Use the loan for working capital and do not use it to buy TV, refrigerator, car, or motorcycle,” the President said, adding that the fishermen should also save the profits generated from their business.

Also present at the event were First Lady Ibu Iriana Joko Widodo, Chairman of Financial Services Authority (OJK) Wimboh Santoso, member of Presidential Advisory Council (Wantimpres) Agum Gumelar, Coordinator of Special Staff to the President Teten Masduki, and West Java Governor Ahmad Heryawan.

(RSF/OJI/ES) (RI/EP/Naster)