Jakarta \u2013 The strengthening of the guarantees industry is\nincreasingly seen as vital amid rising demand for financing in the\nproductive sector and for micro, small and medium enterprises (MSMEs),\nas it plays a strategic role in widening credit access, maintaining the\nquality of financial intermediation, and underpinning the stability of\nthe national financial system.<\/p>\n
The Indonesian Guarantee Association (Asippindo) says the guarantees\nindustry must be strengthened through healthier, prudent, and integrated\ngovernance to meet the challenges of national financing amid global\neconomic dynamics.<\/p>\n
Chairman of Asippindo, Ivan Soeparno, said the guarantees industry\ncurrently holds a more strategic position in supporting national\neconomic growth, especially by expanding MSME and productive sector\nfinancing access.<\/p>\n
\u201cGuaranteeing is not merely an administrative complement to credit.\nGuaranteeing is a risk-sharing mechanism that helps connect business\nneeds, especially for MSMEs and cooperatives, with the prudent\nprinciples of financial institutions,\u201d he said at the Indonesia\nGuarantee Summit (IGS) 2026 in Jakarta, on Thursday (21 May 2026).<\/p>\n
According to Ivan, amid global economic pressures and dynamics in the\nfinancial sector, the guarantees industry is urged to grow in a\nhealthier, more transparent, and more competitive manner to maintain the\nquality of national financing.<\/p>\n
He regards strengthening the guarantees industry as a moment to\nsolidify its direction, including clarifying business models,\nstrengthening governance, and improving risk mitigation.<\/p>\n
He added that strengthening the guarantees industry requires policy\nharmonisation that aligns more closely with other financial service\nsectors, particularly for products that intersect with the insurance\nindustry.<\/p>\n
\u201cWith regulations that are proportionate and aligned with the\ncharacteristics of the guarantees business, the guarantees industry,\ninsurance, banking, and other financial institutions can complement one\nanother to bolster access to financing and the stability of the national\nfinancial system,\u201d he said.<\/p>\n
Asippindo considers strengthening the guarantees industry important\nbecause this sector helps maintain financial intermediation, expand MSME\nfinancing, and spur regional economic growth. In recent years,\nAsippindo, together with regulators, has continued to push to strengthen\nthe industry ecosystem through improved governance, digital\ntransformation, human resources development, and strengthening the\nnational reinsurance scheme.<\/p>\n
In the Indonesia Guarantee Summit 2026 keynote, Airlangga Hartarto,\nCoordinating Minister for Economic Affairs, represented by Deputy for\nCoordination of the Management and Development of State-Owned\nEnterprises in the Ministry of Economic Affairs, Ferry Irawan, stated\nthat strengthening the guarantee industry is a crucial part of\nsupporting the national development agenda.<\/p>\n
According to Ferry, the MSME sector currently contributes around 61\npercent of Gross Domestic Product (GDP), absorbs 97 percent of\nemployment, and accounts for around 60 percent of national investment.\nHowever, many MSMEs are feasible yet not fully bankable, and thus\nrequire support from the guarantee industry to broaden access to formal\ncredit.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/guarantee-industry-poised-to-become-a-pillar-of-productive-financing-1779542566", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }