Tendi Haruman, Meriza Hendri Bakrie University, Jakarta, Widyatama University, Bandung tendi.haruman@bakrie.ac.id , merizahendri@yaho...
Tendi Haruman, Meriza Hendri
Bakrie University, Jakarta, Widyatama University, Bandung
Abstract
Micro, small and medium enterprises play strategic role in West Java Economic. More than 8.2 million micro, small and medium enterprises contribute 64% of West Java GDP and absorb 88.54% of 17.8 million workers. Unfortunately, most of them face financial problem to support their business as well as marketing management, operation management and others. Now days, banking as one of financial institution are invited by West Java Government to fund micro, small and medium enterprise, but they face a banking requirement since the micro, small and medium enterprises have no collateral. Consequently, banking cannot lend money to them even their business is feasible. West Java government commits to set up a provincial credit guarantee institution to assist micro, small and medium enterprise receive loan from bank and other financial institution. It is based on Peraturan Presiden Nomor 2 Tahun 2008. The aim of this research is to analyze setting up of provincial credit guarantee institution to assist micro, small and medium enterprise in West Java. Research objects are Cooperative, Micro, small, and medium owners and other in West Java. This study uses descriptive method with descriptive survey. Qualitative and quantitative analysis is used to analyze data. Based on the study has been done to the environment Economics, Politics, Law, Social and Cultural Rights, operations, human resources, finance and marketing, it can be concluded that the provincial Credit Guarantee Institution in West Java which prudent, transparent, efficient, sustainable, and beneficial to society and the national economy can be established as feasible and economically profitable.
Key Words: Micro, Small and Medium Enterprise, Banking, Credit Guarantee Institution,
