Direct Cash Assistance for People’s Welfare Becomes Government Strategy to Strengthen the Foundation of the People’s Economy
By: Aurelia Fathia )*
 
The government has again demonstrated its commitment to strengthening public welfare by launching the Direct Cash Assistance for People’s Welfare (BLT Kesra) in October 2025. This program is part of the national economic stimulus policy aimed at maintaining people’s purchasing power, expanding employment opportunities, and strengthening the foundation of the people’s economy amidst global economic dynamics. In its implementation, the government is collaborating with PT Bank Rakyat Indonesia (Persero) Tbk as a strategic partner to distribute aid quickly, precisely, and transparently.
 
BRI President Director Hery Gunardi emphasized the company’s full readiness to support the government in distributing the BLTS Kesra. This commitment aligns with the National Asta Cita vision, which emphasizes improving public welfare and eradicating extreme poverty. BRI has an extensive service network and reliable digital infrastructure to ensure that all government assistance is distributed quickly, precisely, and transparently. The company is ready to collaborate with all relevant ministries and institutions to ensure that the distribution of the BLTS Kesra truly has a tangible impact on the community.
BRI Deputy President Director, Agus Noorsanto, emphasized that the collaboration between the government and BRI in distributing the BLT Kesra is a concrete manifestation of BRI’s commitment to the people’s economy. He stated that BRI has extensive experience managing various social assistance and productive credit programs that directly impact low-income communities. BRI not only acts as a fund disbursing institution but also as a partner in the community’s economic empowerment. Through the BRILink network, the BRILian Village program, and KlasterkuHidupku, it can help communities become independent and productive after receiving assistance.
To support the program’s effectiveness, BRI has prepared an integrated operational strategy that utilizes more than 7,000 branch offices and 1 million BRILink agents spread throughout remote villages. This network ensures that no community group is left behind in receiving the benefits of the BLT Kesra. This step also strengthens BRI’s role as a people’s bank that focuses not only on financial growth but also on social missions and inclusive economic development. The distribution of the BLTS Kesra (Cashless Cash Assistance for the People) is not just a short-term program, but part of a national strategy to strengthen people’s purchasing power, maintain social stability, and create a foundation for inclusive economic growth.
The launch of the BLT Kesra program, announced by the government on October 17, 2025, is clear evidence of the state’s commitment to protecting vulnerable groups amidst global economic uncertainty. This program targets 35 million Beneficiary Families (KPM) who will receive assistance from October to December 2025. In addition to the BLT Kesra, the government also launched the College Graduate Internship Program to expand job opportunities and improve the skills of the younger generation. These two programs are expected to act as a dual stimulus for national economic growth, by encouraging increased purchasing power while strengthening the quality of Indonesia’s human resources.
Minister of Social Affairs Saifullah Yusuf stated that the BLT Kesra distribution process will be carried out in stages and transparently, beginning with the validation of recipient data. The government has received data on potential recipients from the Central Statistics Agency (BPS) and is currently coordinating intensively with local governments. The agency has received data from BPS and is coordinating with local governments to ensure that recipient validation in the field runs smoothly. This validation process is targeted for completion by October 27, 2025, so that aid distribution can begin immediately and low-income communities can immediately benefit.
The BLT Kesra program has strategic significance in the context of national economic development. On the one hand, this assistance provides a fiscal cushion to maintain people’s purchasing power amid price pressures and global economic fluctuations. On the other hand, this program strengthens the foundation of the people’s economy by providing a direct stimulus to household consumption, which is the main driver of Indonesia’s Gross Domestic Product (GDP). Through this approach, the government strives to ensure that economic growth is enjoyed not only by the upper classes but also equally by all levels of society.
In terms of digital transformation, BRI has also recorded significant progress. BRI’s QRIS transaction volume increased 133.1% year-on-year to Rp59.4 trillion, and the number of transactions increased by 161.4% year-on-year. Meanwhile, the number of BRILink agents has reached more than 1.2 million agents spread across 66,000 villages, with a transaction volume reaching Rp1,293.5 trillion. These figures demonstrate that BRI’s digital transformation has succeeded in improvingExpanding access to financial services, even to remote areas, while simultaneously increasing national financial inclusion.
The Cash Assistance for People’s Welfare (BLT Kesra) is part of the government’s broader strategy to strengthen the foundations of a resilient and inclusive people’s economy. With the support of financial institutions like BRI, this program not only serves as a short-term instrument to maintain purchasing power but also serves as a bridge to a more equitable economic transformation. In line with the Asta Cita Nasional vision, collaboration between the government and the banking sector is key to ensuring that people’s welfare is truly realized, from villages to cities, from Sabang to Merauke.
)* Social Observer
