Jakarta, Nov. 2 -- The Indonesian government has allocated Rp2.6 trillion (approximately US$143.20 million) to subsidize interest rates under the PNM Mekaar microfinancing scheme, slashing borrowing costs to a flat 8 percent per year.

Micro, Small, and Medium Enterprises (MSMEs) Minister Maman Abdurrahman said here on Monday that the provisional budget will support the credit scheme through the end of December 2026.

"For now, roughly Rp2.6 trillion has been earmarked through the end of December. We will reassess the budget to determine how many borrowers can be covered within this remaining two-month timeframe," Abdurrahman said following a ministerial coordination meeting on financing for women's empowerment.

The PNM Mekaar initiative...