RI President Joko Widodo (Jokowi) emphasized that Indonesia still has a great opportunity to maintain national economic growth, one of which is by continuing to strengthen micro, small and medium enterprises (MSMEs) through the people's business credit (KUR) program. The President also admitted that he was pleased with the positive response from MSME actors in taking advantage of the KUR program. "A total of 39.4 million SMEs have used people's business credit KUR and I am happy that there is now a KUR cluster model, it is true that it must be clustered," said the President on the Handover of KUR Clusters and Distribution of Funds Through Cooperative and Micro Business Revolving Fund Management Institutions, Small and Medium Enterprises (LPDB KUMKM), at the State Palace, Jakarta, Monday (19/12/2022) morning. The President said that the cluster KUR model could provide benefits for MSME actors with clarity from production to consumers. On the other hand, the cluster KUR model also makes it easier for banks or other non-bank institutions to manage loans per cluster.

“This is also a coffee cluster. Earlier there was a horticulture cluster, when it was good to get together, those who lent also didn't take care of them one by one, taking care of IDR 10 million, IDR 10 million," said the President. The President also encouraged other financial institutions to contribute to efforts to develop MSMEs in Indonesia, while at the same time driving the national economy to grow properly and fairly.“If we take care of it, the small ones can become medium, if we take care of the medium ones they can become big. This is what will drive our economy to grow well and fairly," he said. Going forward, the President believes a cluster model financing program like this will have a good impact and can connect business groups with a consolidation model with buyer guarantors or offtakers. The President also encouraged the cluster KUR model to be implemented in all business sectors, from plantations, fisheries to industry."This cluster KUR can be implemented in all sectors, including smallholder plantations, smallholder livestock, smallholder fisheries, the MSME industry, and other businesses that have large market opportunities or superior products in our country so that all competitiveness increases and can enter to the global market," he concluded.

Source: https://setkab.go.id/presiden-jokowi-kur-klaster-perkuat-umkm-untuk-jaga-pertumbuhan-ekonomi/