A driver with ride-hailing app Grab picks up a passenger (Photo: thejakartapost.com) Jakarta (VNA) - State-owned lender Bank Rakyat Indonesia (BRI), in cooperation with ride-hailing service provider Grab, has launched a low-interest loan facility for the latter’s drivers and merchant partners who have been impacted by the COVID-19 pandemic.
Under the programme, Grab’s drivers are eligible for a low-interest loan worth up to 5 million rupiah (336 USD) with a 24-month tenure. The BRI is also giving leeway to the drivers by freeing them from payment obligations for the first three months.
Besides drivers, merchants who operate through the GrabFood and GrabKios services, especially those with no access to bank loans, will be eligible for a microcredit programme (KUR) worth up to 50 million rupiah.
According to Grab Indonesia’s Managing Director Neneng Goenandi, the programme can ease the burden on Grab’s partners. Drivers who open accounts in the bank will also get insurance for accidents to the amount of 250 percent of their current account or a maximum coverage of 150 million rupiah.
In the first phase of the programme, a quota of 1,000 Grab driver partners in Greater Jakarta will be able to access the soft-loan facility. However, the partners will still have to meet the minimum requirements for their average earnings and the length of partnership with Grab to access the loans.
According to a Statqo Analytics report, the number of active Gojek and Grab users declined 17 percent throughout March as a result of the government’s large-scale social distancing restrictions (PSBB), leading to a reduction in drivers’ income.
Meanwhile, the country’s small and medium enterprises (MSME) saw a 30 to 35 percent sales decline in February and March, according to Indonesian MSME Association chairman Ikhsan Ingratubun./.
VNA
