Illegal Borrowing, OJK Expands Micro Waqf Bank For Livestock Sector

Illustration (Photo: Doc. Antara)

JAKARTA - The Financial Services Authority (OJK) continues to expand financial access and micro business capabilities through the establishment of a livestock business cluster for Micro Waqf Bank (BWM) customers in Sukoharjo, Central Java.

Chairman of the OJK Board of Commissioners, Wimboh Santoso, said that the Micro Waqf Bank was an official government program with OJK and Laznas to help provide capital for small communities.

"We want all people to the bottom layer to remain productive and not only rely on social assistance (social assistance) from the government," he said in an official statement, Friday, February 25.

According to Wimboh, the livestock business caster is an advanced program for BWM locations that have good economic potential. In this program, customers are provided with livestock business capital, infrastructure and guidance in managing the business.

"Thus, it is hoped that it can foster an entrepreneurial spirit and encourage business independence," said Wimboh.

Previously, OJK had emphasized that the expansion of the Micro Waqf Bank was also a strategic step by the state in helping the public to avoid illegal financial service institutions, such as illegal loans, which often charge high interest rates and whose existence is quite disturbing.

In addition to BWM, the government also provides a People's Business Credit (KUR) program for continued access to capital with interest subsidy assistance incentives.

Meanwhile, to date, there are 62 Micro Waqf Banks spread across 19 provinces throughout Indonesia with a cumulative beneficiaries of around 53,000 customers and a total accumulated financing distribution of IDR 84 billion.

"OJK will continue to strengthen collaboration and coordination with all other stakeholders to facilitate the community and micro business actors in developing business scale," concluded OJK Chairman Wimboh Santoso.