Yogyakarta | Perusahaan Umum Jaminan Kredit Indonesia (Perum Jamkrindo) aims to reach a guarantee volume of up to Rp1 trillion in Yogyakarta this year.
Its primary focus is on guaranteeing the micro, small, and medium enterprises (MSME) sector.
The Head of the Yogyakarta Branch of Jamkrindo, Wisnu Kusumo Wardhono, stated that the guarantee volume and revenue have experienced significant growth at a level of 11 percent over the past two years.
The outstanding guarantee amount recorded by this state-owned company since its establishment in Yogyakarta in 2013 until March 2016 has reached Rp900 billion.
"In Yogyakarta, the largest guarantee volume is for the MSME sector, covering around 10,000 debtors. We were indeed established by the government specifically to guarantee MSMEs and cooperatives," said Wisnu on Wednesday (30/3/2016).
He mentioned that Jamkrindo plays a role in guaranteeing debtors of banking institutions. The company can replace or supplement the collateral of the respective customers within a certain value scale.
In Yogyakarta, the largest guarantee value currently stands at only Rp2 billion per debtor.
"If it exceeds Rp10 billion, the business category usually needs to be checked first to determine whether it still qualifies as an MSME," he added.
Wisnu stated that the company is still trusted by the government to provide guarantees under the People's Business Credit (KUR) program.
This program remains the largest contributor to Jamkrindo's guarantee value, accounting for approximately 90 percent, while the remaining 10 percent comes from productive credit guarantees.
Of the thousands of guaranteed customers, 20 percent have experienced default or problematic guarantees (Non-Performing Guarantee). It is not surprising that the NPG ratio of debtors currently stands at 2 percent.
"The rate of problematic guarantees usually increases automatically along with the rise in guarantee volume. Compared to 2014, the NPG in 2015 saw an increase of about 10-12 percent," Wisnu concluded. (Source: Tribun Jogja)