BRI Agro seeks to double financing in plantation holding company

Agriculture specialist lender Bank Rakyat Indonesia Agroniaga (BRI Agro) seeks to double its financing in state-owned plantation holding company PT Perkebunan Nusantara III (PTPN III), specifically in supply-chain financing.

BRI Agro president director Agus Noorsanto said on Monday that the two parties had agreed to sign a memorandum of understanding (MoU) to boost financing for the holding company.

BRI Agro financing to PTPN III, including financing for employees and partners, amounts to Rp 750 billion (US$51.56 million) currently.

Agus explained that the lender had disbursed Rp 250 billion for 9,000 employees and retirees, Rp 50 billion for plasma farmers and Rp 140 for vendors.

“We want to double the amount of funding for the financing schemes,” Agus said after signing the MoU in Jakarta.

Meanwhile, PTPN III president director Dolly Parlagutan Pulungan said supply-chain financing was a solution to the absence of a government microcredit program.

Dolly said he was still waiting for a decision by State-Owned Enterprises Minister Rini Soemarno on whether she would continue the microcredit program. (bbn)

The Jakarta Post



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