At nearly half a century of age, Perusahaan Umum Penjamin Perkreditan Indonesia (Perum Jamkrindo) continues to strive to stay close to the community, particularly micro, small, and medium-sized enterprises (MSMEs).
As stated by the President Director of Jamkrindo, Randi Anto, at a blood donation event marking the 49th anniversary of Perum Jamkrindo at the company’s headquarters, MSME actors can access the Jamkrindo website or visit the Jamkrindo branches in various regions.
"There, MSME friends can ask anything related to credit," he said. In addition to providing guarantees for MSMEs, Jamkrindo also offers coaching. MSME actors can receive guidance, one of which is to help them become bankable.
Jamkrindo acts as a guarantor when MSME actors apply for capital assistance from banks. With its active role, it is no surprise that Perum Jamkrindo has transformed into a locomotive of the credit guarantee industry.
Perum Jamkrindo plays an important role in the development of MSMEs and cooperatives to help them level up. It is well-known that MSMEs are a form of business that can always survive under any conditions. This was proven during the 1998 monetary crisis, when many large companies collapsed or went bankrupt. However, MSMEs were mostly able to survive. Cooperatives and MSMEs play a strategic role as one of the main pillars supporting and driving the national economy. However, with the advancement of time and technology, many MSMEs are struggling to keep up.
According to data from the Ministry of Cooperatives and SMEs, the number of MSME actors in Indonesia in 2017 reached 99.99% of the total 62.92 million business actors. MSMEs also contributed 60.34% to the national GDP. Although the businesses seem to be progressing, they often face challenges in accessing capital.
However, since many are not considered bankable, it is difficult for MSMEs to access the banking world. Many MSMEs are eligible but do not have access to banking funds.
"That is why Perum Jamkrindo emerges as the 'Helping Friend' for small businesses (MSMEs). It becomes a guarantor for the bank when MSMEs require additional capital for development," said the President Director of Jamkrindo.
Perum Jamkrindo is the only State-Owned Enterprise (BUMN) in the credit guarantee sector, which is mandated to act as a bridge for MSMEs to access capital. As such, Perum Jamkrindo, as one of the main stakeholders for MSMEs, is required to continuously seek ways for MSMEs in Indonesia to grow and develop.
Currently, Perum Jamkrindo is growing into a healthy and modern financial company, contributing to Indonesia's development. It is no wonder that the amount of credit guaranteed by Perum Jamkrindo has been growing year after year, with an average growth rate of 42.4% over the last five years.
The highest guarantee growth occurred in 2016 at 82.5%. In 2018, Perum Jamkrindo guaranteed more than Rp 153 trillion for over 7 million MSMEs and cooperatives. In the first quarter of 2019, Perum Jamkrindo's guarantees amounted to Rp 49.07 trillion for 1.9 million MSMEs and cooperatives. This figure increased by 16% compared to the first quarter of 2018, which was only Rp 42.4 trillion.
Perum Jamkrindo also reported a pre-tax profit of Rp 202 billion, an increase of 96% compared to the same period in 2018, which was only Rp 103 billion. For claims expenses, Perum Jamkrindo recorded Rp 344 billion, a 20% increase compared to 2018, which amounted to Rp 287 billion.
Several sources mention that Perum Jamkrindo has a strategy to accompany MSMEs. Among these strategies are: complete MSME database profiles, which are necessary to understand the strengths and weaknesses of MSMEs; changing the mindset of MSME actors to think about capturing larger market opportunities; providing guidance and education to ensure MSMEs are compliant with administration and finance; continuous monitoring of the development of MSMEs in running their businesses; and encouraging MSMEs that are still technology-illiterate to become technology-savvy.
It is no mistake that Perum Jamkrindo truly acts as a "helping friend" for small businesses (MSMEs). In addition to providing guarantees, it also offers coaching.
Writer: Seno Budi
Winner of the 1st Place in the 2019 Journalism Competition.