New Credit Support for Labor-Intensive Industries: Access 5% Annual Interest and Margin Subsidies Now!

In order to boost job creation and improve productivity, the Government deems it necessary to expand financing access for labor-intensive industry players. In line with this objective, the Minister of Finance (“Minister”) recently issued Regulation No. 55 of 2025 (“Regulation 55/2025”) on Procedures for the Implementation of Interest/Margin Subsidies (collectively referred to as “Subsidies”) for Labor-Intensive Industrial Credit (Kredit Industri Padat Karya – “KIPK”), which has been in effect since 1 August 2025.[1]