South Kalimantan KUR Distribution Reaches Rp863.99 Billion, Boosting MSMEs

Ria Sartika    Tuesday, March 31, 2026    Comment   

South Kalimantan KUR Distribution Reaches Rp863.99 Billion, Boosting MSMEs

KUR distribution in South Kalimantan reaches Rp863.99 billion in 2026, led by agriculture sector and BRI, boosting MSME growth.

BANJARMASIN — The realization of the People’s Business Credit (KUR) program in South Kalimantan has shown a positive trend in early 2026. Total distribution has reached Rp863.99 billion, equivalent to 16.76 percent of the Rp5.15 trillion target, with 12,546 MSME borrowers benefiting from the program.

Head of the Regional Office of the Directorate General of Treasury (DJPb) South Kalimantan, Catur Ariyanto Widodo, stated that this achievement reflects improving access to financing for micro, small, and medium enterprises (MSMEs).

“KUR distribution in South Kalimantan shows solid progress at the beginning of the year,” he said in Banjarmasin on Monday.

Conventional KUR and Agriculture Sector Dominate

Conventional KUR continues to dominate distribution, accounting for Rp836.63 billion or 96.83 percent of the total. Meanwhile, Sharia-based KUR stands at Rp27.35 billion or 3.17 percent.

The agriculture sector emerged as the largest recipient, absorbing Rp307.28 billion or 35.57 percent, distributed to 5,609 borrowers. This highlights the sector’s crucial role in supporting the regional economy.

Additionally, the micro scheme dominates with Rp572.29 billion or 66.24 percent distributed to 11,436 borrowers, indicating that most beneficiaries are small-scale businesses.

Regional Distribution and Lending Institutions

Banjarmasin recorded the highest KUR distribution at Rp151.27 billion for 1,833 borrowers.

It was followed by:

• Tanah Bumbu Regency: Rp117.28 billion (1,180 borrowers)

• Banjar Regency: Rp91.87 billion (1,469 borrowers)

In terms of lenders, Bank Rakyat Indonesia (BRI) led with Rp571.57 billion distributed to 10,844 borrowers.

Other major lenders include:

• Bank Mandiri: Rp104.05 billion

• Bank Negara Indonesia (BNI): Rp92.48 billion

Nationally, South Kalimantan ranks 17th in KUR distribution and 5th within the Kalimantan region.

Ultra Micro Financing (UMi) Complements KUR

In addition to KUR, Ultra Micro (UMi) financing continues to support smaller businesses. As of February 2026, total UMi distribution reached Rp5.38 billion for 997 borrowers.

Sharia financing dominates UMi distribution at Rp3.35 billion (62.27 percent), while conventional financing accounts for Rp2.03 billion (37.73 percent).

The program is distributed through non-bank financial institutions, with PT Permodalan Nasional Madani (PNM) as the largest channeling institution.

“UMi financing plays a crucial role in expanding financial access for ultra-micro businesses that are not yet eligible for KUR,” Catur said.

Banjarmasin again recorded the highest UMi distribution at Rp0.95 billion, followed by Banjar Regency and Hulu Sungai Tengah.

From a sector perspective, trade dominates UMi recipients with a 94 percent share, while group-based schemes contribute 93.34 percent.

Strategy and 2026 Outlook

To maintain this positive trend, DJPb South Kalimantan has conducted monitoring and evaluation (M&E) with all distributing institutions to ensure targeted delivery.

Catur emphasized the importance of strengthening synergy across stakeholders to ensure more even distribution across all regions.

“The goal is to ensure that this positive trend is not concentrated in specific areas but spreads evenly across all districts and cities,” he stated.

These efforts are expected to further enhance MSME financing and accelerate inclusive and sustainable regional economic growth.

FAQ

1. What is KUR?
KUR is a government-backed financing program that provides affordable loans to MSMEs.

2. How much KUR has been distributed in South Kalimantan?
Rp863.99 billion, or 16.76 percent of the Rp5.15 trillion target.

3. Which sector receives the most KUR funding?
The agriculture sector, with 35.57 percent of total distribution.

4. Which bank distributes the most KUR?
Bank Rakyat Indonesia (BRI) is the leading distributor.

5. What is UMi financing?
UMi is a financing program designed for ultra-micro businesses that are not yet eligible for KUR.

Pulau Laut Bridge Construction Begins, South Kalimantan Allocates $144 Million Annually

Ria Sartika    Tuesday, March 31, 2026    Comment   

Pulau Laut Bridge Construction Begins, South Kalimantan Allocates $144 Million Annually

Pulau Laut Bridge construction begins in 2026–2028 with a $432 million budget, boosting connectivity and economic growth in South Kalimantan.

The South Kalimantan Provincial Government has officially launched the construction of the Pulau Laut Bridge under a multiyear scheme spanning 2026 to 2028. This major infrastructure project is expected to significantly improve connectivity between Tanah Bumbu Regency and Kotabaru Regency.

The project officially kicked off following the signing of a construction contract by the Head of the Public Works and Spatial Planning Agency (PUPR) of South Kalimantan, M. Yasin Toyib, and the contractor. The signing ceremony was witnessed by Governor Muhidin in Banjarbaru on Monday.

Zero Tolerance for Delays

Governor Muhidin emphasized that the project must proceed without any delays.

“The contract has been signed, which means the contractor must be ready to start immediately. There is no room for delays,” he stated.

He also stressed the importance of contractor professionalism, including readiness of equipment, human resources, and project management systems. These factors are considered critical to ensuring the project stays on schedule.

Multiyear Budget Scheme and Central Government Support

The Pulau Laut Bridge construction is planned over three years with a total regional budget of approximately $432 million, or about $144 million per year.

Budget breakdown:

• $317 million from the South Kalimantan provincial budget

• $57 million from Tanah Bumbu Regency

• $57 million from Kotabaru Regency

In addition, the project will receive support from the central government through the Ministry of Public Works, with an estimated allocation of around $576 million under a multiyear scheme until 2028.

This combination of funding places the project among strategic national infrastructure initiatives involving both regional and central government collaboration.

Driving Connectivity and Economic Growth

The Pulau Laut Bridge is expected to become a long-term solution to improve mobility and logistics in South Kalimantan.

Currently, transportation between Tanah Bumbu and Kotabaru relies heavily on sea routes, which are often time-consuming and costly.

With the bridge in place:

• Travel time will be significantly reduced

• Logistics costs are expected to decrease

• Economic activities will increase

• Regional investment opportunities will grow

Governor Muhidin also highlighted the need for better budget absorption early in the project timeline, noting that previous projects often experienced slow spending in the initial phases.

Commitment to Transparency and Accountability

As a multi-million-dollar infrastructure project, the provincial government has committed to maintaining transparency and accountability throughout its execution.

Strict supervision will be implemented to ensure the construction meets technical standards and avoids any potential irregularities.

FAQ (Frequently Asked Questions)

1. What is the Pulau Laut Bridge?
It is a major infrastructure project connecting Tanah Bumbu and Kotabaru in South Kalimantan.

2. What is the total budget for the project?
Approximately $432 million from regional budgets, plus around $576 million from the central government.

3. When will the project be completed?
The construction is scheduled to be completed between 2026 and 2028.

4. What are the main benefits of the bridge?
Improved connectivity, lower logistics costs, and increased regional economic growth.

5. Who is overseeing the project?
The South Kalimantan Provincial Government in coordination with relevant agencies and the central government.

Over 2,000 Cooperatives Established To Boost South Kalimantan Economy

Redaksi    Tuesday, March 17, 2026    Comment   

Over 2,000 Cooperatives Established To Boost South Kalimantan Economy

South Kalimantan strengthens its economy through Red and White cooperatives, with over 2,000 established to support Sharia growth and rural development.

BANJARBARU – The South Kalimantan Provincial Office of Cooperatives and Small and Medium Enterprises (SMEs) has reaffirmed its commitment to strengthening the regional economic structure by focusing on the development of “Red and White” Village and Urban Cooperatives.

Head of the South Kalimantan Cooperatives and SMEs Office, Rahmaddin, stated that the initiative aligns national priority programs with the province’s development vision led by Governor H. Muhidin and Deputy Governor Hasnuryadi Sulaiman, known as “Kalsel Works” (Sustainable, Cultural, Religious, and Prosperous).

According to Rahmaddin, cooperatives play a strategic role as a key driver of regional economic growth, particularly in promoting a Sharia-based economy.

“This national program is in line with the regional mission to boost Sharia economic growth. Cooperatives serve as the backbone of development and a vital pillar of the local economy,” he said in Banjarbaru on Tuesday.

He added that strong and well-managed cooperatives will support South Kalimantan’s position as a logistics gateway for the Kalimantan region.

To ensure the program’s success, the provincial government has implemented an intensive collaboration strategy. This includes continuous mentoring for cooperative managers, strengthening institutional capacity, and improving human resources at the village and urban levels.

Rahmaddin emphasized that these achievements will provide a solid foundation for supporting National Strategic Programs (PSN) initiated by President Prabowo.

Meanwhile, Head of Institutional Affairs at the South Kalimantan Cooperatives and SMEs Office, Bambang Dedi Mulyadi, explained that the establishment of Red and White Cooperatives is supported by a strong legal framework, including Presidential Instructions No. 9 of 2025 and No. 17 of 2025.

At the regional level, the policy is reinforced by South Kalimantan Governor Regulation No. 024 of 2025.

Recent data shows significant growth in the cooperative sector across the province. To date, a total of 2,013 Red and White Village and Urban Cooperatives have been officially established and legally registered.

This includes 1,869 Village Cooperatives and 144 Urban Cooperatives spread across all regencies and cities in South Kalimantan.

With the rapid expansion of these cooperatives, the government expects rural communities to directly benefit from improved logistics access and stronger local business empowerment.