During The Launching Of Gernas BBI #PelangiSulawesi, Luhut: We Control The MSME Loan Absorption Target Of IDR 16 Trillion Until 2024

JAKARTA - The Coordinating Minister for Maritime Affairs and Investment (Menko Marves) will oversee the credit disbursement process for micro, small and medium enterprises (MSMEs) through the association of state-owned banks or Himbara. The total budget prepared is IDR 16 trillion until 2024.

The effort was made as a form of government support in restoring the people's economy that was hit by the COVID-19 pandemic. According to him, during the outbreak of the MSME epidemic, it became one of the most important economic aspects in order to recover quickly.

"The Himbara collaboration helps MSMEs to apply for credit in just 10 minutes with competitive interest. We are guarding the absorption target of up to Rp. 16 trillion in 2024," said Luhut at the launch of the Proudly Made in Indonesia #PelangiSulawesi movement, Thursday, August 26.

Furthermore, Luhut said efforts to expand marketing access for MSMEs also did not escape the government's attention. One way is by digitizing MSMEs where from May 2020 to July 2021 there have been 15.5 million business units that have switched to digital.

According to Luhut, digitalization is the best way so that MSMEs can advance to class. Because, in the midst of the pandemic, people's activities are limited so that online marketing will become a trend in the future.

"I think this is very good now that all digitalization is being carried out, I mentioned earlier that all of us are digitizing health issues. Without realizing it, this country is very advanced in technology," he said.

Luhut also mentioned the differences in handling the economic crisis in 1998 and now. Where in 1998 the government focused on providing funding to save the banking sector. Meanwhile, he continued, in the current crisis caused by the COVID-19, the government actually provides an injection of funds for MSMEs.

"When compared to the economic problems of 1998, the funds disbursed by the government from 1998 to this (the COVID-19 crisis) are very different. In 1998 the government helped banks a lot, today the government is helping MSMEs or small people, those are two different things, " he said.