Increase Acceleration, Government Records KUR Distribution Has Reached IDR 229 Trillion

People's Business Credit (KUR) (Photo: dock. Antara)

JAKARTA - The Indonesian economy recorded strong growth amid global economic conditions that slowed down and the influence of climate change and the decline in the price of leading export commodities.

In the third quarter of 2023, Indonesia's economy grew by 4.94 percent (yoy) or 5.05 percent (ctc) and is projected to continue to grow solidly in 2023-2024.

Deputy for Macroeconomic and Financial Coordination of the Coordinating Ministry for the Economy Ferry Irawan said that entering the fourth quarter of 2023, the domestic economy can be relied on to keep Indonesia's economic growth moving faster so that it continues to reach the target.

In an effort to maintain economic growth, Ferry said that the Government had issued a number of policy packages, one of which was by strengthening MSME financing through the distribution of People's Business Credit (KUR).

As of November 30, 2023, KUR has been distributed IDR 229.95 trillion or 77.42 percent of the 2023 target of IDR 297 trillion to 4.12 million debtors. The quantity of KUR distribution is also followed by the distribution of KUR which is increasingly qualified.

In addition, KUR recipients this year are also dominated by debtors who have received KUR for the first time, which is 70 percent of the total KUR recipients. Meanwhile, KUR debtors who are graded or upgrading reach 53 percent of the total KUR debtors.

"This indicates that more and more MSMEs are taking advantage of KUR and there has been an increase in the business capacity of KUR recipients," he explained in his official statement Thursday, December 7.

Ferry said the government continues to encourage the distribution of KUR so that it can meet the 2023 target. One of the strategies carried out is the optimization of the role of the Regional Government, especially in terms of uploading data for new KUR debtors, so that they can be followed up by KUR distributors.

As one of the efforts to accelerate the implementation of KUR distribution, the Government mandates Governors and Regents/Mayors throughout Indonesia to form and optimize the KUR Monitoring and Evaluation Team consisting of relevant regional agencies and devices, distributors and KUR Guarantees.

Furthermore, Bank Indonesia and the Financial Services Authority, optimize the process of uploading data on potential KUR candidates and data on proposals from special KUR business groups by the Regional Government to SIKP, as well as allocating budgets in the APBD for socialization activities for the KUR program.

Furthermore, Ferry conveyed that related to the Special KUR, one of the requirements to become a candidate for special KUR recipient is to have a business group certificate or other certificate issued by the relevant agencies/agencies as well as groups and members registered in the Program Credit Information System (SIKP).

In this regard, the Directorate General of Treasury (DJPb) of the Ministry of Finance as the organizer of SIKP said that his party had carried out the development of SIKP system and business processes as well as socialization and technical guidance to the DJPb regional office (kanwil) for the smooth implementation of the distribution of Special KUR.

"Through this socialization, it is hoped that it can be a motivation for the Regional Government in providing the best efforts regarding uploading business group data into SIKP and providing information on business groups, so as to accelerate the distribution of KUR, especially the Special KUR scheme to clusters/business groups," he said.

According to Ferry, the synergy and collaboration of each KUR stakeholder is needed so that the acceleration of KUR distribution can be carried out. Regarding technical matters, the Regional Government can coordinate directly with the DJPb Regional Office in each region.