East Java Leads Nation in KUR Disbursement, Reaching Rp27 Trillion

East Java has recorded the highest disbursement of People’s Business Credit (KUR) nationally, reaching Rp27 trillion in the first half of 2026, according to the Ministry of Micro, Small, and Medium Enterprises (UMKM). The funds were distributed to 474,437 MSME debtors.

Nationally, KUR disbursement reached Rp164.5 trillion, benefiting over 2.6 million MSME debtors during the same period. The government has set a full-year target of Rp290 trillion and remains optimistic about achieving it by December 2026.

Jember Regency saw KUR disbursement exceed Rp1 trillion, distributed to 20,051 MSME debtors, marking the second-highest figure in East Java. Officials commended Jember for channelling 69 per cent of its KUR to the production sector, surpassing the national target of 65 per cent.

The ministry emphasised that KUR in the production sector creates jobs, particularly in agriculture, plantations, and livestock, while providing greater economic value compared to non-production sectors. It also supports regional leading sectors, such as agriculture in Jember. The ministry aims to attract 1.5 million new debtors to access KUR.

Jember Regent Muhammad Fawait announced plans to provide a stimulus for MSMEs in the form of interest payment subsidies on loans. He described MSMEs as economic heroes whose resilience has proven vital during economic crises, and expressed hope that easier licensing, business protection, and mentoring would foster regional economic independence.