State Firms Support Developing Micro Businesses

Palembang (Antara Bali) - State-owned companies must pioneer the development of micro businesses in the country, Achiran Pandu Djajanto, the chief of restructuring and strategic planning at the State Enterprises Ministry said on Thursday.

Micro businesses have become one of the fastest growing enterprises and contribute significantly to the growth of the people's economy, he said, after inaugurating a programme for developing business capacity.

He also stated that the government has committed itself to encouraging the development of micro businesses through a number of state-owned companies such as Bank Rakyat Indonesia, the state pawnshop and the state financing company PT Permodalan Nasional Madani (PNM).

These state companies will simultaneously extended capital loans to micro businesses, he noted.

Djajanto also pointed out that micro businesses tend to operate more honestly and only a few have been known to default on debt repayments.(IGT)