TEMPO.CO, Jakarta - The government has set a target of channeling a total Rp110 trillion in the form of micro credit program (KUR) in 2017 to all UMKM (micro, small and medium enterprises) players all over the country.

Deputy to the Minister of Cooperatives and Small and Medium Enterprises for Financing Affairs Braman Setyo said that based on the result of a policy committee meeting, it was decided that the interest for KUR is 9 percent per year, while are two state-run loan guarantors, PT Asuransi Kredit Indonesia (Askrindo) and Perum Jaminan Kredit Indonesia (Jamkrindo), are tasked as institutions that guarantee the channeling of the credit.

The meeting was held on Friday (20/1).

"The break down is that 81 percent of KUR is channeled for micro businesses, 18 percent for retailed sector and 1 percent for the credit for Indonesian Migrant Workers,” he said on Saturday (21/1).

Braman added that meeting was also attended by Coordinating Minister for the Economy Darmin Nasution, State-owned Enterprises Minister Rini Sumarno, Chairman of the Commissioner Board of the Financial Services Authority (OJK), Muliaman D. Hadad, President Director of Jamkrindo Diding S. Anwar, and representatives of a number of banks channeling KUR.

ANTARA