Rp 66 billion loans not disbursed, Sutiyoso shocked<\/p>\n
Ahmad Junaidi, The Jakarta Post, Jakarta<\/p>\n
More than Rp 66 billion in loans are available for low-income
\npeople to improve their economic activities. But two weeks after
\nthe scheme was launched, the money has not yet been disbursed due
\nto unclear information on how to apply for it.<\/p>\n
City Governor Sutiyoso was surprised on Tuesday to learn that
\nthe fund for the Subdistrict Community Empowerment Program (PPMK)
\nhad not been disbursed to the subdistricts.<\/p>\n
During a meeting with Sutiyoso at the offices of the Central
\nJakarta Mayoralty, almost all subdistrict councils said they had
\nnot received the fund as they did not know the procedure to apply
\nfor it.<\/p>\n
The deputy governor for People's Welfare, Djailani, quickly
\nexplained that the disbursement of the money, a total of Rp 250
\nmillion to be lent to each of the city's 267 subdistricts, was
\ndelayed due to technical matters.<\/p>\n
Djailani said none of the 267 councils had forwarded a
\nproposal to obtain the soft loan, which carries a monthly
\ninterest rate of 1 percent and should be repaid within two years.<\/p>\n
To qualify for the money, the councils must have an account at
\ncity-owned Bank DKI.<\/p>\n
But only 25 councils have a bank account.<\/p>\n
The city officials earlier claimed that all subdistricts,
\nexcept four in Kepulauan Seribu (the Thousand Islands) regency,
\nhad received the loan.<\/p>\n
At Tuesday's meeting, subdistrict council members complained
\nabout the council's operational fee of Rp 3.7 million, which is
\nlower than the Rp 22 million fee for non-governmental
\norganizations appointed to monitor the program.<\/p>\n
The city administration said that the council members would
\nreceive only Rp 3.7 million since they were paid a monthly salary
\nof Rp 750,000.<\/p>\n
A member of North Petojo subdistrict council, Tohir, admitted
\nthat the council had not made a proposal to apply for the loan
\nout of fear that the loan could not be returned.<\/p>\n
\"If the loan cannot be returned, who will be held responsible?
\nWe are afraid to take responsibility for it,\" Tohir said.<\/p>\n
Many subdistrict council members questioned Sutiyoso's earlier
\nstatement that the debtors did not need to return the loan if
\nthey had a strong reason stopping them, such as if their stall
\nwas destroyed by fire.<\/p>\n
The loan especially aims at helping residents whose economic
\nactivities were affected by the recent floods.<\/p>\n
Separately, Marni, a food vendor in the Slipi area of West
\nJakarta, said that she learned about the program from the
\nnewspapers. None of the subdistrict officials or council members
\nhad offered it to residents, she said.<\/p>\n
\"If there is such a program, I want to enroll in it to develop
\nmy business. But how do I get the loan?\" the mother of three
\nchildren asked.<\/p>\n
Last year, the administration allocated Rp 50 billion in a
\nsimilar program for 25 poor subdistricts. Only half of the fund
\nwas used by the residents.<\/p>\n
Residents complained that the fund was lent to relatives of
\nsubdistrict officials or was used to finance construction
\nprojects in the local infrastructure.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/rp-66-billion-loans-not-disbursed-sutiyoso-shocked-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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