2 months ago
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November 21, 2024 | 12:49 pm
TEMPO.CO, Jakarta - Minister of State-Owned Enterprises (SOE) Erick Thohir has announced plans to support the People's Business Credit (KUR) program for Indonesian migrant workers abroad. The loans, which can reach Rp100 million, are specifically designed for migrant workers who have obtained work certificates and require working capital.
“When they (migrant workers) obtain confirmed employment, for example with the cost of 20 million, we have prepared KUR loans of up to Rp100 million,” Erick said after meeting with the Ministry of Migrant Worker Protection (PPMI) on Wednesday, November 20, 2024.
Erick believes this program can protect migrant workers from exploitation and human trafficking. “So [this will help] people who get job access abroad but are trapped by factors that ultimately shackle them and prevent them from growing,” he explained.
He acknowledged the challenge of providing support for migrant workers who have not yet obtained work certificates but require training. He suggested that regulatory adjustments may be necessary to extend the micro-credit program's eligibility to these individuals.
“Indeed, one of the resolved issues is how to support those who haven't secured jobs yet but need training and education so they can work,” Erick said.
The program's implementation will involve state-owned banks, with the specific banks to be determined based on the concentration of Indonesian migrant workers in different countries.
“[We will] open to collaborating with banks in countries like Hong Kong, South Korea, Taiwan, and others where we have access," Erick explained.
For countries like Malaysia and Saudi Arabia, the government is pursuing the establishment of bank branches to facilitate the program. However, until these branches are operational, the focus will be on leveraging existing banking networks in countries like Hong Kong, Korea, and Japan.
Meanwhile, Minister of Migrant Worker Protection Abdul Kadir Karding aims to launch the program early next year. A Memorandum of Understanding (MoU) will be signed between the two ministries to establish a legal framework for the program. “We’ll sign the MoU first and then it will be launched,” he said.
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