SUARA NEGERI | JAKARTA — The Financial Services Authority (OJK) noted that credit growth for micro, small, and medium enterprises (MSMEs) has slowed over the past year, influenced by global economic pressures and weakening consumer purchasing power. This situation has made banks more cautious in channeling financing to the MSME segment.
OJK Chief Executive for Banking Supervision, Dian Ediana Rae, stated that MSME credit disbursement as of November 2025 reached IDR 1,494.07 trillion, but the growth rate tended to decline compared to the previous period.
"MSME credit disbursement as of November 2025 reached IDR 1,494.07 trillion. There has been a trend of slowing financing growth over the past year," Dian said in a statement, quoted on Sunday (January 25, 2026).
Dian explained that the slowdown in MSME credit was influenced by several factors, ranging from global and national economic uncertainty, changes in consumer consumption patterns, to the relatively higher credit risk of MSMEs compared to the corporate segment.
Furthermore, the recovery of MSMEs after the Covid-19 pandemic is considered slower.
"This is influenced by, among other things, the dynamics of the global and national economy, pressure on the purchasing power of the lower-middle class, the relatively higher credit risks of MSMEs, and the slower recovery process from the impact of the pandemic compared to corporations," he said.
Despite facing pressures, the Financial Services Authority (OJK) assesses that banks remain optimistic about the prospects for MSME credit. Dian stated that MSME credit is projected to maintain positive growth until the end of 2026, in line with various government programs encouraging business expansion in this sector. (des)
