Non-Permanent Capital Participation: Revolving Fund Loans to the Community Provided by the Financial Institution Bank of Bandung Regency to the Community

Abstract

This research aims to evaluate the impact of the ongoing revolving fund program, which is provided through two banks, Bank BJB and BPR Kertaraharja in Bandung Regency. The approach used is quantitative and qualitative methods, namely collecting, processing and analyzing data sourced from participants' accounts of experience, to answer the research questions posed in this study. Data can be collected through direct interviews and/or questionnaires distributed to participants. Focus group discussions (FGDs) or field reviews can be used to obtain more data than questions in surveys or interviews. Secondary data available from official documents related to program implementation can be used to obtain additional information. The results of this research show that loan distribution is on target, the amount and repayment time are in accordance with the provisions, even though there are arrears within reasonable limits. However, it is necessary to review the loan ceiling to suit the working capital needs of MSMEs, as well as innovation in financing models such as factoring to meet capital needs at certain times. This program has a positive impact on society, such as helping business development, employment, product marketing, and encouraging the regional economy.