TEMPO.CO, Jakarta – Indonesian Finance Minister Purbaya Yudhi Sadewa said the government is proposing that Danantara, the country’s sovereign wealth fund, transfer control of PT Permodalan Nasional Madani (PNM) to the Ministry of Finance as part of a plan to improve the distribution of subsidized loans for micro, small, and medium enterprises (MSMEs).
PNM, a state-owned lender focused on financing micro and ultra-micro businesses, is currently a subsidiary of PT Bank Rakyat Indonesia (BRI), one of the state-owned enterprises under Danantara.
“I am currently proposing to Danantara to hand PNM over to us. PNM will be given to us, and we will transform it into a distributor of People’s Business Credit (KUR),” Purbaya said in Jakarta on Monday, April 7, 2026, as quoted by Antara.
He said the government plans to place PNM under one of the Finance Ministry’s special mission vehicles (SMVs), such as PT Sarana Multi Infrastruktur (SMI) or the Public Investment Center (PIP).
According to Purbaya, the proposal is aimed at streamlining the distribution of KUR, a subsidized loan program designed to support MSMEs. He said many small business owners have reported difficulties accessing the low-interest financing, while the cost of channeling the loans through commercial banks remains relatively high.
“If KUR is distributed through banks, we pay interest of up to 18 percent. That money is lost in interest payments, around Rp40 trillion every year,” Purbaya said.
He argued that if KUR were distributed through PNM under a Finance Ministry SMV, the Rp40 trillion currently spent on interest subsidies could instead be used as capital to transform the state-owned lender into a dedicated MSME bank.
Purbaya said the government hopes to build PNM into a large-scale lender with capital of Rp200 trillion within the next five years.
Beyond establishing a specialized bank, he said the government also plans to create an integrated MSME development ecosystem, including advisory services, marketing support, training facilities, and credit guarantee institutions.
Purbaya said the proposal has been submitted to President Prabowo Subianto and has received positive signals. However, he added that the plan still requires further refinement and discussions with Danantara.
“If supported by Commission XI [of the House of Representatives], we will execute it,” he said.
He added that if Danantara is willing to independently build the integrated MSME development ecosystem outlined in the proposal, the Finance Ministry would not pursue a takeover of PNM.
Read: Indonesia Has Enough Funds to Withstand US$100 Oil, Says Purbaya
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