Learning From Mastercard And Visa Actions In Russia, Jokowi Wants To Strengthen Government Credit Cards

JAKARTA - President Joko Widodo (Jokowi) reminded local governments, ministries or institutions, and Regional Owned Enterprises (BUMD) to use domestically made Government Credit Cards (KKP). This is for the purchase of goods and services.

"Then also, the use of local government credit cards. The era is in a digital era like this, all of these should be able to use it," said Jokowi some time ago at the opening of the P3DN Business Matching, quoted by the presidential set, Friday, March 17.

He said, if you can use the KKP consistently, then Indonesia can truly be independent. This reflects the US sanctions against Russia.

The US sanctions were at the time when Mastercard and Visa officially stopped transactions in the country some time ago. This is the result of the Russian invasion of Ukraine.

"Be careful, we remember sanctions from the United States to Russia, Visa and Mastercard are a problem," he said.

So, Jokowi continued, if Indonesia could use its own transaction platform, it would be calmer.

"And it spreads everything using, starting from ministries/agencies, provinces, regencies/cities, we will be calmer," he said.

As is known, Mastercard and Visa have officially stopped processing transactions in Russia. This decision was the result of the Russian invasion of Ukraine.

Mastercard, which has been operating in Russia for more than 25 years, said cards issued by Russian banks were no longer supported by the Mastercard network as a form of compliance with global sanctions against Russia.

Following Mastercard's move, Visa announced it plans to work with clients and partners in Russia to lay off all transactions and Visa operations in the country.