MoSA and OJK Improve Financial and Investment Literacy for PENA Beneficiaries

MALANG (13 August 2023) - The Ministry of Social Affairs (MoSA) is collaborating with the Financial Services Authority of Indonesia (OJK) to improve financial literacy and investment for Beneficiary Families (KPM) of Indonesian Economic Heroes (PENA). KPM PENA needs to understand financial management and investment so that they can continue developing the business they started.

"The beneficiaries consist of housewives, most of whom have never imagined receiving more money. That's why we teach them how to manage their money so that it can be utilized for useful purposes, such as the costs of sending their children to school," said the Minister of Social Affairs Tri Rismaharini at the inauguration of the PENA Business Clinic and the launch of Tata Rupa Nusantara in Malang, Saturday, (12/8).

Financial literacy is expected to provide PENA beneficiaries with knowledge and abilities in finance management, particularly the ability to manage income from the business they undertake. "So if you are taught financial literacy, you are taught (management) to separate education fees, health, and return capital," she said.

Risma revealed that she often meets people who are already prosperous by owning a business, but because they are unable to manage their finances, they are forced to live in tough circumstances and even rely on social assistance. One of the reasons behind this, she claims, is a lack of financial literacy.

"I had discovered several gorgeous residences. But then they asked for social assistance. Well, I don't want that," Risma stated. Therefore, she hopes that, when their income increases, there will be financial management for their future and their children's education.

PENA beneficiaries will gradually and continually improve their financial literacy and investment management skills. Initially, the MoSA hosted the PENA TV program and worked with the OJK on financial management.

"In the future, (training will be given on) how to invest; for example, if they need capital, they will be taught so they don't get cheated," Risma added.

According to the Minister, understanding financial management and investing is critical for PENA beneficiaries for them to handle their resources successfully in the future.

On the same occasion, OJK Commissioner Friderica Widyasari Dewi said that her party appreciated the Ministry of Social Affairs' efforts to provide financial and investment management literacy. OJK already has a memorandum of understanding (MoU) with the Ministry of Social Affairs.

"PENA is a very extraordinary program. OJK is collaborating with the Ministry of Social Affairs by providing literacy to PENA beneficiaries about finance," she explained. She said that currently, the financial literacy of PENA beneficiaries is still low, although it is increasing.

Therefore, those with an income, such as PENA beneficiaries should be able to manage their finances well. On the other hand, her party will also help PENA beneficiaries carry out financial inclusion, such as assisting in terms of funding from banks.

"We will carry out a matching business to then help them move up in class to increase production capacity. Previously, Mrs Risma said several times that PENA beneficiaries often get orders that they can no longer proceed, meaning there is also a program on production capacity that we can assist with," she said.

"Then we will leave messages to the beneficiaries if their economy has improved; be cautious of fraudulent schemes that will target them, be it illegal investment schemes, illegal pawning, and others, so there are lots of things we can do in synergy with the Ministry of Social Affairs," she said.