Indonesian UMKM initiatives focus on credit access and internship programs

Indonesian micro, small, and medium enterprises (UMKM) are being encouraged to utilize various support programs to facilitate business growth. Bank Negara Indonesia (BNI) is offering the 2026 People's Business Credit (KUR) program, which provides loans of up to Rp100 million with flexible tenors ranging from 1 to 5 years. The program features an effective annual interest rate of 6 percent, or approximately 0.5 percent per month, aimed at providing accessible working capital and investment funding.

In West Java, regional officials are promoting the MagangHub internship program as a way for UMKM to address labor shortages. The program, supported by the government, provides educated young workers to assist businesses for six months. Because the government covers the interns' stipends, small businesses can benefit from assistance in areas such as digital marketing, administration, and product development without additional payroll burdens.