The 2021 National Micro, Small and Medium Enterprises (MSMEs) Day must serve as a reminder to strengthen cooperation in the sector, Cooperatives and Small and Medium Enterprises (SMEs) Minister Teten Masduki has said.
“We have to consolidate to support our nation’s economic heroes — the MSMEs,” he said at the virtual commemoration of the national day here on Thursday.
The attempt is crucial as 99 percent of MSMEs are still informal micro businesses, he explained. Moreover, just 22.7 percent — or around 14.6 million — of MSMEs have joined the digital ecosystem, he added.
In addition, as of June 30, 2021, just 2.6 million MSMEs were recorded in the Online Single Submission, an integrated online licensing system to facilitate business activities in Indonesia, he informed.
Furthermore, the enforcement of community activity restrictions in the second and third quarters of 2021 has presented challenges for the sector, he said.
“Hence, the future MSME transformation strategies are very crucial for the sector at the moment” he noted.
He also outlined the government’s efforts to assist the sector amid the pandemic. The 2021 National Economic Recovery Program has allocated 21 percent of its budget — or Rp161.2 trillion — for MSME improvement, he pointed out.
Productive Presidential Assistances has been offered to 12.8 million micro enterprises, and the government has also allocated Rp3.45 trillion for the additional 3 percent people’s business credit interest subsidy, he informed.
“Along with our joint work in mitigating the impact of COVID-19 on MSMEs, I hope we can also use this momentum to prepare the MSMEs to rise while continuing to adapt amid the pandemic,” he added.
Source: Antara News