The loan can be paid back in instalments every month, with a very low interest rate
Manado, North Sulawesi (ANTARA) - The government is committed to providing a loan that migrant workers could use to prepare for their work abroad, the Indonesian Migrant Workers Protection Agency (BP2MI) stated.

"The loan can be paid back in instalments every month, with a very low interest rate," BP2MI Head Benny Rhamdani stated during a coordination meeting here, Friday.

The agency head highlighted that due to a lack of options, prospective migrant workers often resorted to selling their family's assets or borrowing money from loan sharks to prepare for their work abroad.

"President Jokowi instructed that no residents with dreams to (work) abroad must sell their family's assets or borrow money from loan sharks for their flight tickets, visa, training fee, meals and accommodation, medical check-up, and psychological examination. Now, the government will provide the loan," Rhamdani remarked.


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The loan, provided without the need for collateral, will be facilitated by Bank BNI or other state-owned banks, he remarked.

He noted that while Bank BNI set its loan ceiling at Rp40 million (US$2,680), other state-operated banks, such as Bank BRI, had imposed a loan ceiling of Rp100 million (US$6,700) .

Rhamdani expressed optimism that residents, particularly those from North Sulawesi Province, could utilize the opportunity to work abroad.

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"When Mrs Erny asked me about how many residents could North Sumatra send to work abroad, I say, as many as possible, and we will accommodate them," the agency head remarked while referring to Erny Tumundo, the head of North Sumatra's Manpower and Transmigration Office.

He pointed out that Indonesian migrant workers in Japan receive a monthly salary of Rp22-30 million (US$1,474-2,010), while migrant workers in Singapore and East Asia receive wages of Rp20-27 million (US$1,340-1,809), and Indonesian migrants in Germany are paid Rp34-40 million (US$2,278-2,680) every month.

"Even the agency head is only receiving a salary of Rp26 million (US$1,742), far below that of the migrant workers," Rhamdani pointed out.


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Translator: Karel Alexander P, Nabil Ihsan
Editor: Fardah Assegaf
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