President Prabowo Signs Regulation on Write-off of Bad Debts for MSMEs

President Prabowo Subianto signs Government Regulation Number 47 of 2024 on the Write-off of Bad Debts for Micro, Small, and Medium Enterprises (MSMEs), Tuesday (11/05), at the Merdeka Palace, Jakarta. (Photo by: Bureau of Press, Media, and Information (BPMI) of the Presidential Secretariat)

President Prabowo Subianto officially signed on Tuesday (11/05) Government Regulation Number 47 of 2024 on the Write-off of Bad Debts for Micro, Small, and Medium Enterprises (MSMEs). The policy governs the write-off of bad debts for MSMEs in three fields, namely agriculture, plantations, and animal husbandry; fisheries and marine affairs; and other MSMEs such as fashion/clothing industries, culinary industries, creative industries, and others.

President Prabowo explained that the policy was triggered by input from various parties, especially farmer and fisherman groups throughout Indonesia. According to the President, MSME owners have to date faced major challenges in maintaining the sustainability of their businesses.

“Having received suggestions and aspirations of many parties, especially from farmer and fisherman groups throughout Indonesia, today, Tuesday, November 5, 2024, I will sign Government Regulation of the Republic of Indonesia Number 47 of 2024 on the Write-off of Bad Debts for Micro, Small, and Medium Enterprises,” said President Prabowo at the Merdeka Palace, Jakarta.

President Prabowo emphasized that producers in the agricultural sector, MSMEs, and fishermen are a very important pillar of the nation’s food suppliers. Therefore, this policy is expected to provide support for sectors that play an important role in food security and the national economy.

“With this policy, the Government expects to help our producers who work in the agricultural sector, MSMEs, and as fishermen who play a very important role in food production. They can keep their businesses running and they can be more productive for our nation and state,” said the President.

The technical details and the requirements for the write-off of the bad debts will be further formulated by the relevant ministries and institutions. President Prabowo emphasized that the Government is committed to ensuring effective and on-target implementation of this policy.

President Prabowo also expressed his hope that this policy will provide a sense of security and confidence for MSME owners, especially farmers and fishermen. This is important to ensure that they can work enthusiastically and with confidence that the state supports and appreciates their role.

“We certainly pray that all farmers, fishermen, MSME owners throughout Indonesia can work peacefully, enthusiastically, and with confidence that the Indonesian people respect and appreciate food producers who are very important for the life of the nation and the state,” said the President.

The signing of Government Regulation Number 47 of 2024 serves as a milestone in the Government’s unwavering commitment to supporting the sustainability of MSMEs and unlocking opportunities for these sectors to become more empowered and independent. (BPMI SETPRES/DNS) (TM/MUR)