Reviving Impacted MSMEs: PRR Task Force Promotes Enhanced Access to Financing

The government is preparing a series of acceleration programmes to help micro, small, and medium enterprises (MSMEs) affected by hydrometeorological disasters in Aceh, North Sumatra, and West Sumatra to recover quickly and return to productivity. This programme is part of the community economic recovery strategy during the permanent rehabilitation and reconstruction phase, focusing on strengthening access to financing, business protection, and job creation.

Minister of MSMEs Maman Abdurrahman stated that the government is providing special treatment for affected MSMEs throughout three stages of the recovery period between 2026 and 2028. The support schemes prepared include providing a grace period for new debtors, simplifying financing application requirements, relaxing additional collateral requirements, easing BPJS Ketenagakerjaan (social security) participation, and providing interest rate relief.

“This is to ensure that the mechanism for distributing People’s Business Credit (KUR) can run quickly and accurately target those in need,” he said in an official statement received on Tuesday (2/6/2026).

These statements were made by Maman while leading the Coordination Meeting for Post-Disaster KUR Distribution in Sumatra in Medan, North Sumatra, on Tuesday. As a long-term measure, the MSME support programme has been integrated into the Master Plan (Renduk) for Post-Disaster Rehabilitation and Reconstruction in Sumatra, specifically focusing on recovery strategies for the MSME, cooperative, and employment sectors.

“We are now moving towards permanent recovery or rehab-recon. The key is the Master Plan, which is compiled from the affected regencies, cities, provinces, as well as ministries and agencies. This document is then aligned by Bappemas and supervised by the PRR Task Force,” said Tito following a working meeting with the Indonesian House of Representatives (DPR RI) at the Parliament Complex, Senayan, Jakarta, on Monday (25/5/2026).

As part of the programme’s implementation, the government is also continuing to accelerate the distribution of KUR in the three affected regions. Data from the PRR Task Force as of 30 May 2026 shows that KUR distribution has reached 193,703 debtors, with a total outstanding amount of Rp 11.22 trillion.