Indonesia’s government credit disbursements reach Rp294.6 trillion
The programmes reached 4.24 million borrowers by 27 October 2026, exceeding the Rp275.8 trillion disbursed during all of 2025.
Indonesia disbursed Rp294.6 trillion through government credit programmes by 27 October 2026, surpassing the full-year 2025 figure of Rp275.8 trillion, according to Coordinating Minister for Economic Affairs Airlangga Hartarto.
Speaking at a government credit forum in Nusa Dua, Bali, on 29 October, Airlangga said the financing had reached 4.24 million borrowers. He said the programmes were supporting productivity among micro, small and medium-sized enterprises despite a global economic slowdown.
Disbursements under Kredit Usaha Rakyat (KUR) totalled Rp265.9 trillion in 2026, reaching 4.12 million borrowers and meeting 90.1 per cent of the annual target. Airlangga said 68 per cent of programme financing went to production sectors, while the non-performing loan ratio stood at 2.14 per cent.
The minister said KUR began with a guarantee scheme in 2007 before moving to interest subsidies in 2015, a change that reduced its interest rate from 12 per cent to 6 per cent. Government programme lending since 2015 has totalled Rp2,440 trillion across 58.1 million credit agreements.
The housing credit programme has a target of up to Rp50 trillion. A separate programme for disadvantaged women offers financing of up to Rp15 million at a flat interest rate of 8 per cent, without additional collateral and with mentoring, Airlangga said.
He said the government intended to strengthen productive financing, help smaller businesses expand, integrate data and digitise credit disbursement.
