Digital Platform Migration by 30 Million MSMEs Targeted in 2021
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13 December 2020 14:19 WIB
TEMPO.CO, Jakarta - The Coordinating Ministry for Maritime Affairs and Investment is aiming for 30 million Indonesian micro, small, and medium enterprises (MSMEs) to enter the digital platform in future.
"By 2021, it is expected that 30 million MSMEs out of a total of 60 million MSMEs will enter the digital ecosystem," Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Pandjaitan, stated during the "Working Together for the Country" webinar, Jakarta, Saturday.
Luhut noted that only some 11 to 12 million MSMEs are selling on digital platforms at this time, so several others should be encouraged to enter online selling on digital platforms.
"MSMEs are the backbone of our economy," the minister reiterated.
At the same event, Minister of Cooperatives and Small and Medium Enterprises (UKM) Teten Masduki stated in a short video that 99 percent of business actors in Indonesia are MSMEs, contributing 60 percent to the national gross domestic product (GDP) and 97 percent to the absorption of labor affected by the pandemic.
Of the existing MSMEs, only 16 percent have entered the digital economy.
"MSMEs have high resilience and can potentially accelerate the nation’s economic recovery," Masduki noted.
To support MSMEs in the midst of the coronavirus pandemic, the government has at least two programs, with the first being through the Job Creation Law viewed as being in favor of MSMEs.
Pandjaitan stated that through the Job Creation Law, MSMEs can find it easier to tend to permits, secure free halal certification, gain access to marketing, and obtain special allocation of funds.
The second program to support MSMEs is the Proud National Movement Made in Indonesia to encourage the use of local products among people.
Data from the Coordinating Ministry for Maritime Affairs and Investment stated that some 3.2 million MSMEs had currently partaken in the Indonesian National Proud Movement since its launch in mid-2020.
Each ministry and institution also has programs to support MSMEs during the COVID-19 pandemic, and the Ministry of Cooperatives and SMEs, among others, provide stimulus grants in the form of productive direct cash assistance (BLT) of Rp2,400,000 for each business actor.
Also Read: Bank Indonesia: Milennials to Become Driving Force for New MSMEs
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