Jakarta – The government continues to strive to support the growth of Micro, Small, and Medium Enterprises (MSMEs) through collaboration with the banking and guarantee industries.
The Deputy for Micro Enterprises at the Ministry of MSMEs, Riza Adha Damanik, stated that the meeting with the Association of State Banks (Himbara) and the National Nutrition Agency regarding capital for MSMEs in the Free Nutritious Meals (MBG) program has progressed well.
“The development has been very positive, so there is a possibility of an upfront payment scheme to support the MBG kitchen needs,” said Riza.
This upfront financing scheme was proposed as a government response to the needs of MSMEs to support the implementation of the MBG program.
Riza explained that until now, the payment mechanism in this program used a reimbursement system, which means that MSME actors must bear the operational costs first before receiving reimbursement funds.
He said that the kitchen spending cost in a day could reach IDR 30 million, assuming 3,000 food portions, each costing IDR 10,000. In a week, the total cost that MSMEs must provide reaches IDR 210 million. This burden is quite heavy for business actors, especially those with limited capital.
“If it runs for seven days, the total reaches IDR 210 million. MSMEs need to provide that amount,” Riza said.
To address this challenge, the government has designed an upfront financing scheme that will serve as initial capital for MSMEs to run their businesses. This scheme is being discussed further with Himbara banks to ensure there is a uniform mechanism to support the MBG program.
“This is what was discussed with Himbara banks to have a uniform mechanism and method in supporting the Free Nutritious Meals program, so that the ecosystem can be more easily accessed by MSMEs involved,” said Riza.
Previously, the Minister of MSMEs, Maman Abdurrahman, stated that his ministry would prepare a special scheme to simplify access to capital for MSME actors in the MBG program.
He emphasized that there are 46 banks distributing People’s Business Credit (KUR) under the coordination of the Ministry of MSMEs, including four banks that are part of Himbara.
These four Himbara banks will play a role in the financing scheme for MSMEs involved in the MBG program. With the capital access support being built by the Ministry of MSMEs, the National Nutrition Agency, and Himbara, Maman hopes the financial burden on MSMEs will decrease, allowing them to focus on running their businesses more optimally.
