Indonesia's COVID-19 Vaccination and Economic Resilience Strategy slide image

Indonesia's COVID-19 Vaccination and Economic Resilience Strategy

The Pre-Employment Card Program to Increase Access to Finance for Entrepreneurs and SMEs Kredit KER Usaha Rakyal People's Business Credit (KUR) credit/financing for working capital is a and/or investment to a productive and feasible 1 individual, business entity, and/or business group debtor that does not have additional collateral or does not have sufficient collateral. KUR is entirely sourced from the financial institution fund that distributed KUR loans. KUR Interest Rate Year 2016-2017 9% Year 2014 22% Micro KUR 13% Retail KUR Year 2007 24% Micro KUR Year 2018-2019 7% Year 2015 12% Low KUR interest amounting to 6% effective annually. Easy requirements for KUR additional collateral. • 2 " . . 2022 KUR POLICY Increase of KUR ceiling to Rp373,17 Trillion 2022 KUR ceiling was initially stipulated at Rp250 trillion. Coordination Meeting of Committee of Financing Policy for MSMEs on 29 December 2021 has decided to add 2022 KUR ceiling from Rp250 trillion to Rp373.17 trillion and will be evaluated on the 1st semester of 2022. KUR Policy Relaxation during Covid-19 Period Small KUR is without limitation in the loan ceiling accumulation until 31 December 2022 Postponement of the production sector target until 31 December 2022 or by the consideration of the Committee of Financing Policy for MSMES • Follow-up incentive provision in the form of KUR restructuring extension Provision of administrative relaxation for prospective KUR debtor during Covid-19 pandemic period based on the objective assessment of KUR Distributor Provision of additional KUR interest subsidy of 3% until 31 December 2022 3 Change of KUR Policy to Expand and Increase KUR Distribution Small KUR and special KUR over Rp100 million is following the policy/assessment of KUR Distributor. Additional collateral is not required for supermicro- KUR, micro-KUR, special KUR up to Rp100 million, and Indonesian Migrant Worker (PMI) placement KUR. Year 2020-2022 6%...... Source: Coordinating Ministry for Economic Affairs, as of January 10, 2021 Change of Micro KUR ceiling (without additional collateral), starting from Rp10 million to Rp50 million to be beginning from Rp10 million to Rp100 million. Change of Special/Cluster KUR without KUR ceiling accumulation limitation for the production sector (non-trade) and interest subsidy by KUR type Increase PMI KUR ceiling, starting from Rp25 million to starting from Rp100 million, withdrawal (KUR disbursement) by the need of PMI and simplification of KUR distribution. Reduction of KUR interest subsidy/margin subsidy for Super Micro KUR by 1% to be amounting to 12%; Micro KUR is reduced by 0,5% to 10%; Small KUR interest subsidy remains at 5,5%, and PMI Placement KUR interest subsidy is reduced by 0,5% to 13,5%. 281.9 198.6 140.1 22.8 KUR 30 Distribution 94.0 100 96.7 110 120.3 120 140 190 285 (IDR Trillion) 2015 2016 2017 Target 2018 2019 2020 2021 Realization 17
View entire presentation