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CLIK Supports The Ministry Of MSMEs In Distributing KUR With Advanced Credit Scoring Technology

The Indonesian government, through the Ministry of Micro, Small, and Medium Enterprises (MSMEs), is finalizing a credit scoring framework designed for banks to facilitate the distribution of People's Business Credit (KUR). Set to launch in 2025, this initiative represents a significant step towards equal financial access for small businesses.

PT CRIF Financial Information Agency (CLIK), a leading private credit bureau in Indonesia, has been chosen as the main partner to support this program. "This partnership reflects our commitment to collaborating with the government to create an advanced credit ecosystem, especially for small business groups. We firmly believe that fair and equal access to credit is a fundamental right for everyone," said CLIK's President Director, Leonardo Lapalorcia.

According to Leonardo, this strategic initiative will introduce an innovative credit assessment system that aims to redefine how People's Business Credit (KUR) is evaluated, making the process faster, fairer, and more inclusive.

"CLIK is dedicated to using advanced analytical technology to assist our partners, particularly banks, in transitioning from lengthy manual assessment processes to quicker, streamlined, and data-driven evaluations. This shift allows for loan policies that move from collateral-based lending to unsecured loans, where credit scores can serve as a reputation guarantee for potential borrowers," he added.

With its expertise in providing credit scoring models for specific businesses, CLIK offers a Credit Risk Assessment Solution that utilizes proprietary technology for decision-making called StrategyOne. CLIK also develops a ranking model system that combines extensive credit bureau data and credit behavior information from MSMEs to ensure accurate and predictive risk assessments.

Based on the initial proof of concept, the CLIK ranking model shows a 5% increase in loan approval rates while maintaining consistent risk levels. These early results indicate significant potential for the CLIK solution to bring change to financial institutions and MSME borrowers.

To ensure successful implementation, CLIK will collaborate directly with banks designated by the Ministry of MSMEs to provide training on the new tools and offer consulting services to help financial institutions optimize their credit evaluation processes. This collaborative effort aligns with the government's vision to enhance financing access for MSMEs with lower interest rates.

"We aim to assist financial institutions in meeting and exceeding MSME expectations by providing the tools and insights needed for quick and accurate credit decisions. This partnership is a crucial step towards developing financial inclusion and unlocking significant potential in Indonesia's MSME sector," said CLIK's President Commissioner, Rizana Noor.

Through this initiative, CLIK and the Ministry of MSMEs reaffirm their commitment to creating a more inclusive, innovative, and sustainable financial ecosystem for Indonesia's MSMEs.

Tag: CLIK Credit Scoring Technology KUR