Government prepares special credit scheme for women micro-entrepreneurs

The government is preparing a special Kredit Program scheme for women micro-entrepreneurs with a flat interest rate of just 8 percent per year. “This new scheme is expected to expand access to more affordable financing while strengthening women’s economic empowerment,” said Coordinating Ministry for Economic Affairs spokesperson Haryo Limanseto in a statement in Jakarta on Thursday. He explained that existing PNM Mekaar financing carries rates between 18 and 25 percent, so the reduction to 8 percent flat will significantly ease credit repayments. “So mothers who want to start a business, are currently running one, or have previously run one and wish to return can obtain far more affordable financing,” he said. The scheme is a transformation of PNM Mekaar financing into a Kredit Program for women micro-entrepreneurs, with a ceiling of up to Rp15 million per debtor and tenors ranging from 6 to 24 months. Haryo expressed hope that the policy would accelerate financial inclusion while reinforcing women’s economic empowerment. To support its implementation, the government is preparing supporting regulations and fiscal backing in the form of interest or margin subsidies amounting to Rp2.62 trillion for 2026. “This support reflects the government’s commitment to providing more affordable financing access, enhancing the business capacity of women micro-entrepreneurs, and promoting inclusive and sustainable economic growth,” Haryo said. As of 28 June 2026, total Kredit Program disbursement had reached Rp167.97 trillion, or 49.20 percent of the 2026 target of Rp341.39 trillion. This achievement was underpinned by the positive performance of KUR, which reached Rp147.70 trillion distributed to 2.32 million debtors, with a non-performing loan ratio maintained at 2.39 percent. That figure represents 50.83 percent of the 2026 KUR ceiling target. For other programme loans, disbursement of Alsintan Credit reached Rp71.10 billion, Labour-Intensive Industry Credit reached Rp91.93 billion, and Housing Programme Credit reached Rp17.74 trillion. “The government is not only ensuring that financing access for MSMEs remains available, but also continuously refining various Kredit Program schemes to be more targeted, more inclusive, and capable of meeting the needs of business actors across sectors. Through strengthening the Kredit Program, we aim to encourage more people to move up the ladder and seize opportunities to develop their businesses,” Haryo said. Earlier, at the Festival of Ease and Protection for Micro Enterprises held in Jakarta on Monday (29/6/2026), Coordinating Minister for Economic Affairs Airlangga Hartarto stressed that the government will continue to strengthen the MSME financing ecosystem to make it more inclusive, easily accessible, and able to reach community groups that have not yet obtained access to formal financing.