Indonesian Political, Business & Finance News

BRI KUR Boosts Revenue as Tile Manufacturers Flooded with Orders

| Source: CNBC Translated from Indonesian | Business
BRI KUR Boosts Revenue as Tile Manufacturers Flooded with Orders
Image: CNBC

President Prabowo Subianto’s roof tiling programme has brought welcome relief to small business operators in the building materials sector. Across various tile production centres, demand from the market has increased significantly as the programme for housing development and community dwelling improvements has accelerated.

One beneficiary is Nurhasanah, a tile craftsperson from a production centre in Majalengka. Together with her two sisters, she continues the family tile business that their mother established decades ago.

In recent times, Nurhasanah reported that tile demand has increased rapidly. Orders have arrived from various regions including Jakarta, Bandung, and Tegal. This situation has forced the operation to work harder to meet the growing market demand.

The family’s tile factory now employs approximately 150 workers. However, this number remains insufficient to meet the high demand. Most of the existing workforce comprises elderly workers, whilst young people tend to prefer work in other industrial sectors.

“Demand is increasing constantly, but finding workers is not easy. Many young people prefer working in companies,” Nurhasanah stated.

In production, the family tile business operates 12 pressing machines and can produce approximately 16,000 roof tiles weekly. The products are then distributed to various major cities on the island of Java. From this business activity, Nurhasanah records monthly turnover of several hundred million rupiah.

Amid rising market demand, Nurhasanah reports facing no significant challenges regarding capital. This is because the business has secured financing support through the People’s Business Credit (KUR) programme from BRI.

She stated that cooperation with BRI has lasted four years and provided important support for the family business’s sustainability.

“Alhamdulillah, our business capital has been supported through the BRI KUR programme,” she said.

BRI continues to demonstrate its commitment to supporting the development of micro, small, and medium-sized enterprises (MSMEs), including tile craftspeople who form part of the housing sector ecosystem.

BRI Managing Director Hery Gunardi affirmed that BRI is ready to take a strategic role in supporting the roof tiling programme through KUR financing and strengthening connectivity between business operators and the market. According to him, BRI can serve as a bridge between tile craftspeople and buyers or housing developers, allowing the supply chain to operate more effectively and sustainably.

“BRI’s role is in the middle. When a contract exists between the craftsperson and buyer or user, BRI can provide financing support so that the production process runs optimally,” he explained.

Gunardi added that building materials such as roof tiles form part of the housing sector KUR ecosystem that BRI continues to develop. As a bank with a strong focus on MSME empowerment and people’s economy, BRI is committed to providing accessible and easy-to-access financing for MSMEs.

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