Bank Jateng Together with LPDB Ministry of KUMKM RI Distributes Small and Medium Micro Loans in Central Java

Bank Jateng has recently signed a Cooperation Agreement on Funds Distribution of Cooperatives of Micro, Small and Medium Enterprises LPDB Ministry recently at the Bank Jateng’s Central Office.

Bank Jateng President Director Supriyatno expressed his highest gratitude and appreciation to the Revolving Fund Financing Institution (LPDB) of the Cooperatives, Micro, Small and Medium Enterprises (KUMKM) Ministry and the entire Directors’ Board for the given trust to Bank Jateng as a channel of LPDB Funds whose value is quite significant for the Company.

The trust from LPDB KUMKM to channel the cooperatives and the small and medium micro business financing sector is nothing new for Bank Jateng.

Since 2016 credit has been disbursed in the amount of Rp.187,440,000,000 (one hundred eighty-seven billion four hundred forty million rupiahs).

In 2019, the cooperation in channeling LPDB funds continued with the funding distribution revolving with total funds entrusted to Bank Jateng in the amount of Rp.400,000,000,000. – (four hundred billion rupiahs) channeled through 2 (two) schemes namely conventional and sharia schemes with a portion of Rp. 200,000,000,000 (two hundred billion rupiahs) for conventional and Rp. 200,000,000,000 (two hundred billion rupiahs) for sharia.

President Director of LPDB-KUMKM RI, Braman Setyo revealed the nominal revolving fund distribution to Bank Jateng was the largest number among BPD banks.

This means that LPDB’s trust in Bank Jateng has exceeded the other BPDs. The good Performance Factor of Bank Jateng among BPD Banks is also the main basis for LPDB’s consideration to provide more trust in terms of revolving fund distribution.

Giving Credit / Financing with this LPDB fund will provide fresh air to the world of Micro, Small and Medium Enterprises in Central Java.

MSME Entrepreneurs can obtain financing with interest / profit sharing that is not too burdensome. According to Supriyatno, the potential of small and medium micro businesses in Central Java is currently quite large.

Some of these entrepreneurs are already bankable and some have not been able to access the banking services.

With the existence of this revolving fund, it is expected that Micro and Small entrepreneurs can access the capital, where for bankable MSMEs can directly apply for capital through banks, while those who have not been able to access capital through banks can apply for loans / loans through cooperatives that have obtained LPDB funds from the Bank.

“We Bank Jateng believes and be optimistic that it can channel LPDB funds to the maximum as the time limit provided by LPDB KUMKM which ultimately can contribute to the development of small and medium micro enterprises in Central Java,” Supriyatno added.