Micro, Small, and Medium Enterprises (MSME) Minister Maman Abdurrahman stated that as of November 15, 2025, the government’s People’s Business Credit (KUR) program had disbursed Rp238.7 trillion (approximately USD 14.25 billion), which is 83.2 percent of this year’s target of Rp286.61 trillion (around USD 17.1 billion).
“At November 15, 2025, disbursement reached about Rp238 trillion (USD 14.25 billion), or 83 percent of the goal. This means there is still roughly 17 percent remaining to achieve the assigned target,” he said during a meeting with Commission VII of the House of Representatives (DPR RI) in Jakarta on Monday, November 17.
He added that 60.7 percent of the KUR funds have been directed to the production sector, exceeding the 60 percent target. The ministry expects this allocation to increase to 61 percent by December 2025.
Maman also mentioned that the number of MSME borrowers who have advanced to higher financing categories has already surpassed this year’s target of 1.17 million debtors.
“To ensure MSMEs grow and move up the financing ladder, as of November 15, the number of graduating borrowers has exceeded the target, reaching 1,321,830 people, or around 112 percent of our initial target,” he said.
In spite of the advancements, Maman admitted that MSMEs were still complaining about how hard it was to obtain KUR, especially when it came to the collateral criteria and debtor data in the Financial Information Services System (SLIK).
He emphasized that no security should be needed for KUR loans under Rp100 million (about USD 5,970) in terms of collateral. Nevertheless, in reality, several bank employees continue to request borrowers to provide duplicates of their vehicle ownership documentation (BPKB) or land and building certificates.
"That is solely for verification reasons or as psychological pressure to avoid moral danger, guaranteeing that borrowers don't treat their loan obligations lightly," he stated.
Nevertheless, in accordance with current regulations, the MSME Ministry is still firm in its prohibition of such behaviors and is stepping up monitoring and assessment efforts to deter future offenses.
“Regardless of the situation, the MSME Ministry must comply with the rules. So we will continue monitoring and evaluating to ensure that for loans between Rp1 million (approx. USD 59) and Rp100 million (approx. USD 5,970), no collateral is requested,” Maman Abdurrahman said.