Coordinating Minister Airlangga Optimistic That The Financial Services Industry Plays A Strategic Role In Promoting Economic Recovery

Coordinating Minister for the Economy Airlangga Hartarto (Photo: Doc. Coordinating Ministry for the Economy)

JAKARTA – Coordinating Minister for the Economy Airlangga Hartarto appreciates the role of the Financial Services Authority (OJK) together with all industry players in supporting the real business sector. According to him, the support of the financial services industry accelerates the recovery of the national economy.

"The financial industry sector, particularly banking, can channel credit and financing to drive the economy," he said in an official statement, Thursday, March 10.

Airlangga added, for the 2022 period the government has targeted national economic growth of 5.2 percent year on year (yoy). He said the pandemic control strategy still has a crucial role to play in achieving this growth target.

It was also stated that the government is committed to continuing to maintain the effectiveness of controlling the pandemic in order to support economic recovery at the national and regional levels.

“This momentum for economic recovery needs to be maintained and jointly increased so that we can grow high and get out of the middle income trap in the medium to long term. Therefore, the government is committed to continuing various economic recovery programs and structural reforms," he said.

The central role of banking is also supported by the government through the People's Business Credit (KUR) program which is getting more aggressive this year.

"The KUR segmentation which has been divided into super micro, micro, and small KUR can be used by MSMEs to maintain the sustainability of small community businesses in Indonesia," he stressed.

Furthermore, Airlangga explained that throughout 2021 KUR financing had been distributed in the amount of Rp. 281.9 trillion to 7.4 million debtors.

Meanwhile, at the beginning of this year, KUR financing was recorded to have been disbursed in the amount of IDR 44.36 trillion or 11.89 percent of the 2022 target of IDR 373.17 trillion given to 1.05 million debtors.

"Strong synergy between the government and all stakeholders, including financial services business actors, is a must in encouraging national economic recovery," concluded Coordinating Minister Airlangga.