Bank Mandiri allocates $4.3 B for SMEs

Bank Mandiri is allocating about 4.3 billion U.S. dollars of loans to SMEs across the country this year,

This is 10 trillion rupiahs more than that in the previous year.

"It is expected that by 2014, the portfolio loan for SMEs sector would reach up to 73 trillion rupiah," Bank Mandiri Commercial and Business Banking Director Sunarso said.

Sunarso said that the loan for SMEs is channeled through Bank Mandiri's business unit Mandiri Business Banking. He added that each debtor may receive loan of up to 10 billion rupiah to develop SME business.

According to Sunarso, Mandiri Business Banking has channeled 30 trillion rupiah of loans to 40,000 businessmen in the sector last year. "It was significantly increasing by 33 percent compared to 22.7 trillion rupiah it had channeled in 2010," Sunarso said.

He added the loans were mostly channeled to SME businesses in trading and farming sectors that accounted for 57.75 percent and 13.48 percent respectively of the total.

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