Bank Mandiri KUR Realization Reaches IDR 32.20 Trillion As Of September 2024

Welcoming the 26th age, Bank Mandiri further strengthens its commitment to supporting the development of the Micro, Small and Medium Enterprises (MSMEs) sector as the backbone of the national economy, focusing on the distribution of People's Business Credit (KUR). As of the end of September 2024, the realization of Bank Mandiri's KUR distribution has reached Rp32.20 trillion to more than 293 thousand business actors throughout Indonesia.

Bank Mandiri SEVP Micro & Consumer Finance Saptari said the distribution of KUR was equivalent to 85.87 percent of Bank Mandiri's 2024 KUR target. We are committed to continuing to support the development of MSMEs as the backbone of the Indonesian economy," said Saptari in an official statement, Friday, October 4.

Saptari added that the distribution of KUR is a form of the commitment of the Government and Bank Mandiri as financial institutions in supporting the development of MSMEs. The bank with the gold band logo also plays an active role in expanding access to financing for business actors in productive sectors, through adaptive and Solutive services, in accordance with the theme of Bank Mandiri's 26th birthday.

As of the September 2024 period, Bank Mandiri's KUR distribution is still dominated by the production sector with 60.08 percent or Rp. 19.34 trillion. Meanwhile, the remaining 39.92 percent was channeled to the non-production sector, especially trade of Rp. 12.85 trillion.

If detailed, the Agricultural sector is the production sector with the highest distribution throughout 2024, namely Rp9.40 trillion or 29.21 percent of Bank Mandiri's total KUR. Then followed by the Production Services sector with Rp6.89 trillion or around 21.42 percent of the total distribution of Bank Mandiri KUR in 2024.

Bank Mandiri continued Saptari, also strengthening its focus on the leading production sector in various regions, supported by business synergies and strategic collaboration with wholesale customers.

"This KUR distribution is part of an ecosystem-based acquisition strategy with a closed loop pattern that we optimize through the wholesale Bank Mandiri customer value chain," he added.

In addition, Bank Mandiri is also committed to providing holistic services to MSMEs by presenting Livin' Merchants. This digital solution helps MSME businesses to be better managed, from recording transactions to more efficient financial management.

One of the advantages is the three-time settlement feature in a day which is the solution for MSMEs in accepting non-cash payments. This feature accelerates the process of disbursing funds, increasing cash flow, and helping business actors manage their business more smoothly.

With the Livin' Merchant, MSME players can expand the reach of their customers more widely, by accepting payments for both cash and non-cash, thus supporting sustainable business development while strengthening the digital MSME ecosystem in Indonesia.

"Livin' Merchant functions as a digital cashier application that digitizes transactions, provides easy access to banking services (access to finance and encourages MSMEs to advance to class," he explained.

Bank Mandiri also expands access to financing through referral programs and financial transaction education through Mandiri Agents, which play an active role in the MSME ecosystem.

"We are optimistic that we can meet the government's targets and continue to strengthen the people's economy in Indonesia through the development of a high competitive MSME ecosystem," concluded Saptari.