Introduction of the President of the Republic of Indonesia on Limited Cabinet Meeting on Smallholder Business Credit (KUR) at Presidential Office, Jakarta, 5 October 2015
Date 5 Oktober 2015
Assalamualaikum warahmatullahi wabarakatuh,
In this limited meeting, we will discuss the breakthroughs in the implementation of Smallholder Business Credit (KUR). I receivea reportshowing that the loan disbursed to entrepreneurs is still low. Therefore, in October, November, and December, I expect some important breakthroughs so that the micro, small, and medium entrepreneurs can get the capital. Moreover,micro, small, and micro enterprises should be protected and strengthened so that they can compete with others.
In 2015, we have KURs fund approximately Rp 30 trillion that can be disbursed to micro businesses. The interest rate, which previously was 22%, decreases to 12%. Next year, we hope that it could be 9% and the fund is higher, reaching Rp 90 trillion.
However, I want that Rp 30 trillion can immediately disburse in order to protect and strengthen our micro businesses and move the lower leveleconomy.
I think the KUR scheme can be done by individual or group and can be diversified not only for production businesses but also for trading businesses.
I think these are all I can say. I hope all parties, such as the ministers and banks can coordinate with the Financial Services Authority (OJK) so that there are some dispensations of the regulation to support KUR program. (Humas Setkab) (MMB/YM/Naster)