Makassar | Perum Jamkrindo President Director Diding S. Anwar stated that the agriculture and forestry sectors have minimal absorption of bank credit.
"According to the economic sector, 50.5 percent of Micro, Small, and Medium Enterprises (MSME) credit disbursed by banks is recorded as highest in the trade sector, while the agriculture and forestry sectors have the lowest absorption," said Diding during his working visit to Makassar on Sunday.
According to data released by Jamkrindo, of the 50.5 percent MSME credit disbursed by banks, the trade sector absorbs the most, followed by the manufacturing industry at 10 percent, and the agriculture and forestry sectors at only 7.9 percent.
Meanwhile, the share of MSME credit to the total credit of commercial banks is recorded at 19.5 percent. In terms of the number of customers (based on credit account approach), MSMEs account for 11.1 million accounts or 27.3 percent of total bank debtors.
The number of customers consists of 84.3 percent micro-business customers, 12.4 percent small-business customers, and 3.3 percent medium-business customers.
"The low access to credit among small businesses is due to several MSME and cooperative issues in the field," said Diding.
He explained that, in general, the three capital-related challenges found in the field are the availability of financing institutions (availability), access to financial institutions, and the ability to obtain financing (accessibility).
These issues are detailed in data released by Jamkrindo as follows: capital difficulties 35.7 percent, marketing difficulties 34.8 percent, raw material difficulties 10.8 percent, fuel/energy 4.1 percent, transportation 2.8 percent, skills 1.2 percent, labor wages 0.8 percent, and others 9.8 percent.
Source: Antara Sulsel