BIP Budget Diverted for Handling Covid-19, What’s the Fate of Creative Business Actors?

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ACCURATE.CO The Ministry of Tourism and Creative Economy canceled the regular category of Government Incentive Assistance (BIP) program in 2021 to be transferred to the Covid-19 recovery and handling program.

“The budget for the regular BIP program in 2021 is not available due to refocusing The budget is being carried out to assist the handling of Covid-19 and the recovery of the national economy,” said Deputy for Industry and Investment of the Ministry of Tourism and Creative Economy, Fadjar Hutomo in his statement, in Jakarta, Wednesday (6/10/2021).

Reporting from Antara, he apologized to the participants who had participated and submitted a proposal to participate in the selection of the BIP program for the regular category in 2021.

Furthermore, it is said that he understands that tourism and creative economy business actors who take part in the regular BIP program have prepared the required documents and proposals submitted as requirements for the regular BIP selection. However, he said, the existing conditions forced a decision to be made refocusing budget.

“We have taken this responsive step with full consideration to prioritize the existing and remaining budget so that we can focus on this in the implementation of the disbursement of aid for the BIP Category of the Public Prosecutor (Business Safety Network). One of these tough decisions was taken so that the Covid-19 pandemic can be resolved immediately and the recovery process will run immediately,” he admitted.

Regarding the BIP for the Business Security Network Category (BIP JPU), it is said that the prospective recipients have been selected, although there is a reduction in the amount of assistance from Rp. 20 million per beneficiary to Rp. 10 million per beneficiary.

As is known, the BIP program is divided into two categories, namely the Regular BIP and the Public Prosecutor’s BIP, which are assistance programs for additional working capital and/or investment in fixed assets in order to increase the business/production capacity of tourism and creative economy business actors by a maximum of Rp. 200 million. The registration process is open from June 4 to July 7, 2021.

Regular BIP is opened for business entities engaged in six sub-sectors of the creative economy, namely applications, games developers, craft, fashion, culinary, and film. As well as the tourism business sector in accordance with Law number 10 of 2009 concerning tourism.

Meanwhile, the Public Prosecutor’s Office was opened for businesses in the culinary, craft, and fashion fields.

The main requirements for registering include having a Business Permit Number (NIB). The terms and conditions of each BIP category can be seen in the Technical Instructions which can be downloaded on the BIP website.

There are several stages of selection that must be passed by all participants to obtain the assistance, namely administrative selection, proposal substance selection, interview selection, and field verification.

Then, there are stages of determining beneficiaries, binding commitments to cooperation agreements, disbursing aid, reporting and accountability, as well as monitoring, controlling and evaluating.

Minister of Tourism and Creative Economy Sandiaga Uno said that he would continue to work to help tourism and creative economy business actors even though the regular BIP program could not be run this year.

Therefore, he continued, other programs from the Ministry of Tourism and Creative Economy will be optimized.[]

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