Banking - President Prabowo to launch debt forgiveness

Banking - President Prabowo to launch debt forgiveness President Prabowo Subianto will begin implementing the policy of waiving debts for 67,000 Micro, Small, and Medium Enterprises (MSMEs) amounting to IDR 2.4 tn at state-owned banks such as BRI, BNI, Mandiri, and BTN next week. This policy is also accompanied by a 50% discount on electricity tariffs throughout January-February 2025. Minister of MSMEs Maman Abdurrahman stated that the launch will be held by inviting 3,000 MSMEs to receive debt bill waivers. "In the second week of January, next week, we will launch it." There are 3,000 that we have invited to receive debt forgiveness. We will discuss the technical details later. "Insha Allah the president will attend, basically we are just waiting for the President's schedule," he told reporters at the Bogor Palace, Friday. Furthermore, he explained that the mechanism for SMEs whose debts are written off must have gone through the write-off stage. Currently, around 1 mn SME entrepreneurs have been written off and are spread across Indonesia. Next, Maman said, to enter the write-off stage, the potential that the government can pursue today is around 67,000 entrepreneurs from the target of 1 mn MSMEs to be written off. "Hopefully, all can be cleared again and can receive financing facilities again." For the nominal amount of approximately IDR2.4-2.5 tn. That is 67,000 equivalents to IDR2.5 tn, while the 1 mn ones are around IDR14 tn," concluded Maman. (Source : Bisnis Indonesia)