PROTECTION OF BANKING CREDITS DEBTORS IN TOURISM AREA OF NATURAL DISASTERS
Marwah, Nurfaidah Said

Hasanuddin University

Abstract

The government is now beginning to develop the tourism sector in all regions in Indonesia as one of the efforts to boost national economic growth. In order to support the program, the banks increase lending to tourism business actors. Based on the credit agreement, the bank is required to disburse the capital credit business to the business actor and business actors are required to pay credit installments to the bank every month in accordance with the agreed timeframe. However, natural disasters that often occur in Indonesia can cause material losses for the community, including tourism business actors. Natural disasters occur beyond the fault of the parties and have the potential to generate bad debts because the debtor is unable to pay the agreed installment credit obligations. This research aims to determine the role of the Financial Services Authority in protecting debitors of banking credits in tourism area of natural disasters. This research is an empirical research conducted in Karangasem, Bali. The results showed that the Financial Services Authority plays a role in providing credit relaxation policy to business actors by stipulating areas affected by natural disasters as special treatment areas for bank credit.

Keywords: Debtor Protection, Tourism Business Credit

Topic: Socio-economic issues