State-owned banks have agreed to increase their microcredit loans this year to Rp 18 trillion (US$1.9 billion) from Rp 13 trillion following the government’s increased loan target for micro-, small- and medium-sized businesses, a minister said.
State-Owned Enterprises Minister Mustafa Abubakar said Friday that state banks were strongly committed to supporting the higher microloan target set by the government at a recent meeting at his office.
“We expect to distribute Rp 15.8 trillion in microloans to achieve the government target,” Mustafa said.
The state-owned banks are PT Bank Negara Indonesia (BNI), PT Bank Rakyat Indonesia (BRI), PT Bank Mandiri, PT Bank Tabungan Negara (BTN), PT Bank Mandiri Syariah and PT Bank Bukopin.
Of these banks, BRI is expected to issue between Rp 6.2 trillion and Rp 8 trillion in microloans. Last year BRI issued Rp 14 trillion in microloans.
BNI will issue between Rp 1.56 trillion and Rp 3 trillion, Mandiri between Rp 1.84 trillion and
Rp 3 trillion, BTN between Rp 610 billion and 650 billion, while Bank Syariah Mandiri agreed to issue between Rp 400 billion and Rp 450 billion.
“We expect Bukopin to issue Rp 500 billion up to Rp 700 billion in microloans this year,” he said.
Apart from state-owned banks, the government also expects regional banks to raise their microloan targets to Rp 2.2 trillion.
The State-Owned Enterprises Ministry said that as of the end of 2009, Rp 17.18 trillion in microloans was issued.
“By June this year, Rp 5.1 trillion had been issued,” Mustafa said, adding that outstanding microloans in the first half of 2010 reached Rp 22.3 trillion.
He acknowledged that the issuing of microloans had slowed this year because many banks were waiting on new government regulations of microloans, such as a regulation on a loan guarantee facility.
The Cooperatives and Small and Medium Enterprises Ministry said micro-and small-businesses employed 90.9 million workers from a total workforce of 104.87 million as recorded by the Central Statistics Agency.
