Prabowo Issues New Directive, Spurs State Banks to Boost MSME Financing

President Prabowo Subianto has issued firm directives to state-owned banks within the Association of State-Owned Banks (Himbara) to broaden financing access for micro, small, and medium enterprises (MSMEs). Prabowo also believes that lending rates for MSMEs should be lower than those offered to large corporations. The directives were conveyed during a meeting between Prabowo and the boards of directors and commissioners of Himbara banks at the Presidential Palace on Thursday (18/6/2026).

Chief Executive Officer of Danantara Indonesia, Rosan Roeslani, stated that Prabowo emphasised his significant attention to the banking sector’s role in fostering more inclusive economic growth. He stressed that all Indonesians must feel the benefits of Himbara, which should not be solely profit-oriented but must also deliver tangible benefits to the public through equitable financing access.

Prabowo highlighted the situation where small and medium enterprises sometimes face higher interest rates than corporations, whereas they should be at the same level or even lower. MSMEs ought to receive greater support from the banking sector due to their vital role in the national economy. “(Lending rates) must be lower because this is truly felt by the community, especially MSMEs,” Rosan said.

Rosan added that Prabowo also paid special attention to financing the food sector and strengthening a more self-reliant national economy. He noted that Himbara banks have a crucial role in supporting this agenda through credit distribution to productive sectors. “Himbara banks have a very strategic role, not only in financing but also in economic growth and future national policy,” Rosan remarked.

With a combined market capitalisation reaching approximately Rp1,100 trillion, equivalent to roughly 10% of the total value of companies listed on the Indonesian capital market, Himbara is expected to make an increasingly significant contribution to economic growth and public welfare. Meanwhile, Deputy Minister for State-Owned Enterprises Dony Oskaria said that in his directives, Prabowo stressed that the strength and business scale of Himbara must be accompanied by increasingly tangible benefits for the public.

Himbara is encouraged to continue strengthening its role in supporting national economic growth through expanded financing access, reinforcement of productive sectors, and support for various strategic government programmes. The meeting’s discussions also covered the importance of maintaining professionalism, good governance, and prudential principles in managing the banking industry. “The President’s directives serve as an impetus for us to ensure that Himbara not only grows strong but also becomes increasingly beneficial for the people,” Dony stated in a written release.