Realization Of LPDB-KUMKM Revolving Funds Until October 2023 Capai IDR 1.24 Trillion

President Director of LPDB-KUMKM Supomo (center). (Photo: Theresia Agatha/VOI)

BOGOR - The Revolving Fund Management Agency for Cooperatives and Micro, Small and Medium Enterprises (LPDB-KUMKM) has realized revolving funds for the development of MSMEs in Indonesia amounting to IDR 1.24 trillion until October 2023.

This figure has reached 69 percent of the overall realization target of IDR 1.8 trillion.

"The realization of the distribution of LPDB-KUMKM in 2023 has reached 1.241 trillion, with details of the conventional pattern of Rp762 billion and a sharia pattern of Rp479 billion," said LPDB-KUMKM President Director Supomo in Media Gathering entitled Transparency and Accountability in the Management of LPDB-KUMKM Revolving Funds in Bogor, West Java, Thursday, October 12.

Supomo said, LPDB-KUMKM always prioritizes the principles of prudence and Good Corporate Governance (GCG) to ensure that these funds are used optimally.

"We are committed to staying on the track in the distribution of revolving funds. This is not only about numbers, but also about how we maintain the quality of financing to cooperatives throughout Indonesia," he said.

As for 2008-2023, LPDB-KUMKM has distributed Rp17.06 trillion. The realization was given through 3,275 partners with 444,454 recipients.

The distribution of these funds has been given to the real and savings and borrowing sectors, both sectors have continued to increase over the past five years.

He also invited MSME actors to join the cooperative as a strategic step.

By joining cooperatives, they can get easier and cheaper capital, as well as easy and friendly financing from LPDB-KUMKM.

"We want to encourage collaboration between MSME players and cooperatives. This will allow them to access LPDB-KUMKM rolling funds more efficiently," he said.

Furthermore, Supomo emphasized the importance of the role of cooperative personnel in supporting MSMEs.

"Cooperatives have a central role in bridging MSMEs with revolving funds which are loan or financing instruments provided officially by the government through the Ministry of Cooperatives and Small and Medium Enterprises (Kemenkop UKM)," he added.