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    LaNyalla Supports OJK's Plan to Eliminate Bad Loans for MSMEs

    03 Mei 2021, 17.31 WIB Last Updated 2021-05-03T10:31:39Z

    NEW NEWS ■ Chairman of the DPD RI, AA LaNyalla Mahmud Mattalitti, supports the Financial Services Authority (OJK) which is reviewing the write-off of credit for micro, small and medium enterprises (MSMEs) under Rp. 5 billion.

    According to LaNyalla, MSME players will be greatly helped by this policy.

    Senator from East Java himself has voiced relief for bad credit for MSME players since long ago.

    "I have even written to President Joko Widodo (Jokowi) in January 2021, especially for MSMEs who experience bad credit due to disasters," said LaNyalla, on Monday (3/5/2021).

    The public raised the issue of bad credit when LaNyalla made a working visit to Palu City, Central Sulawesi, some time ago.

    At that time, he received aspirations regarding the number of disaster victims who experienced bank blacklist status due to default or non-performing loans (NPL). As is known, in 2018 Central Sulawesi was hit by an earthquake and tsunami which affected many sectors.

    "Whereas on average they are medium and small entrepreneurs. So it is impossible to get capital loan assistance for recovery. Until now, not a few MSME players have not been able to rise. For that, please get the attention of the Minister of Finance and related institutions, so they can re-start a business to improve life, "said LaNyalla.

    This alumnus of Universitas Brawijaya also appreciated the OJK for considering the elimination of NPL credit below Rp 5 billion from industries that want to play an active role in developing the UMKM business with a target of above 30% by 2024.

    "If realized, I think it can help the national economic recovery program (PEN), which is an important key in dealing with the impact of the Covid pandemic," he explained.

    LaNyalla hopes that the OJK plan will receive a green light from various related agencies and ministries. It is known, currently the OJK is preparing a strategy regarding the study of this bad credit elimination plan.

    "The government really needs to think about financing UMKM to people who have potential for UMKM businesses. How about improving their business, from the impact of the disaster and the impact of the pandemic. So there must be assistance," he said. (rl/Red)