Jakarta | RMOL. Minister of Cooperatives and SMEs Anak Agung Gede Ngurah Puspayoga appreciates the distribution of People's Business Credit (KUR) in 2015, which managed to reach IDR 22 trillion or about 72 percent of the IDR 30 trillion target.
Puspayoga considers this achievement very good, given that the distribution of KUR in 2015 only started on August 18, 2015.
"We appreciate the implementing banks for their hard work, as by December 31, 2015, the distribution reached IDR 22 trillion," he said to reporters in Jakarta on Monday (4/1).
According to him, in 2016, the government has reduced the KUR interest rate from 12 percent to 9 percent. This reduction, effective from January 4, 2016, is expected to increase the KUR distribution target to IDR 100 trillion, with the potential to reach IDR 120 trillion.
In response to this, Puspayoga expressed optimism that the 2016 KUR distribution target could be achieved, especially since the distribution is expected to be dominated by micro KUR rather than retail KUR. This is because the addition of private banks and non-bank financial institutions will focus more on micro KUR.
The micro KUR ceiling reaches up to IDR 25 million, while the retail KUR ceiling ranges from IDR 25 million to IDR 500 million and does not require collateral.
It is known that KUR distribution is still carried out by three state-owned banks, namely Bank Rakyat Indonesia (BRI), Bank Mandiri, and Bank Negara Indonesia (BNI), as well as two private banks, such as Bank Sinar Mas and MayBank, which specifically distribute KUR for Indonesian migrant workers (TKI). In addition, there are two Regional Development Banks (BPD), namely BPD West Kalimantan and BPD East Nusa Tenggara.
Nevertheless, the government is also opening opportunities for private banks to participate in distributing KUR. Currently, 10 private banks are being selected by the Financial Services Authority (OJK). Additionally, six BPDs will also distribute KUR.
Private banks and BPDs are required to have a non-performing loan (NPL) ratio of less than 5 percent and a minimum MSME credit portfolio of 5 percent. Furthermore, the government is also providing opportunities for non-bank financial institutions (LKNB) to participate in distributing KUR. However, in 2016, LKNB selection has not yet been conducted and will be implemented in stages as a pilot project.
In 2016, the KUR distribution target for the three state-owned banks is BRI at IDR 67.5 trillion, Bank Mandiri at IDR 13 trillion, and BNI at IDR 1.5 trillion. Meanwhile, BPDs are targeted to distribute IDR 2.5 trillion, other commercial banks (private) IDR 4 trillion, and LKNB IDR 1.5 trillion.
"We hope that these 10 private banks meet the requirements so that KUR distribution will be faster and the targets will be achieved," explained Puspayoga. (Source: rmol.co)