Minister of Cooperatives and MSMEs: KUR Up to Rp 20 Million Without Collateral
The Minister of Cooperatives and Micro, Small, and Medium Enterprises (MSMEs), Dr. Sjarief Hasan, has confirmed that People’s Business Credit (KUR) up to Rp 20 million does not require collateral. This policy aims to help communities obtain business capital.
"Loans up to Rp 20 million do not require collateral, while amounts above Rp 20 million do," Sjarief told reporters during the inauguration of PT Permodalan Nasional Madani (Persero) Medan Branch on Thursday (17/2) night. The event launched a capacity-building program for MSMEs and cooperatives across North Sumatra.
On this occasion, he explained that the government has allocated Rp 18 trillion for the 2011 KUR program to support cooperatives and MSMEs nationwide as part of efforts to reduce poverty. Additionally, the government has provided Rp 20 trillion in KUR guarantees.
Sjarief emphasized the government's strong commitment to supporting cooperatives and MSMEs, recognizing their significant role in the economy.
"Currently, there are 52.7 million MSMEs in Indonesia, with 52.2 million classified as micro businesses. Meanwhile, there are only 4,677 national-scale enterprises and 177,485 cooperatives. This shows how strong our economic structure is," he explained.
He further stated that for Indonesia to achieve real prosperity, MSMEs and cooperatives must be empowered, as they resist the impact of imported products and contribute to food security.
"The government is fully committed to supporting this sector," he affirmed.
Sjarief guaranteed that if KUR funds are effectively utilized, they will significantly help reduce the poverty rate from 13.3% to 12% in 2011, with a target of 8% by 2014.
"At the Ministry of Cooperatives and MSMEs, we also have a Public Service Agency (BLU) program, known as revolving funds, demonstrating the government's strong dedication to supporting cooperatives and MSMEs," he concluded.
(Source: Harian Global)