Welfare, if not achieved, it’s difficult for people to improve their living conditions. Access to financial institutions is one of the indicators needed, thus giving birth to Sharia Microfinance Institutions that have been provided by the Banda Aceh City Government. However, there are still transact with moneylenders even though they are aware of the risks. This pattern has moved the Banda Aceh City Government to plan a Policy for the Regulation of Caning Law for Moneylenders. This study aims to find out how the mechanism for implementing the discourse on the law of moneylenders lashing is and what causes policy problems so that policies are taken according to what the community needs. Analyzed using Political Policy theory, Punishment Policy theory, and the concept of Political Development. This research was conducted using qualitative-descriptive research methods. The results of the study indicate that the plan to enforce the regulation of caning for moneylenders in the city of Banda Aceh is still being studied in depth by advocates and academics. Policy Problems and Matters that arise as a result of being forced to experience economic hardship, and there are still many who have not been able to access the financial institutions provided. It is suggested to the Banda Aceh City Government to deepen the spectrum of moneylenders and to review the plan to lash out moneylenders in order to produce the right policies, and to engage the village apparatus in its eradication. As well as making the existing system of financial institutions more accessible to the public.
Keywords : Walfare, Caning Law, Policy