Jokowi shared that 14 million MSMEs have digitized parts of their businesses during the pandemic. Last year alone, Indonesia’s e-commerce transaction volumes reached US$ 17.5 billion (IDR 253 trillion). E-commerce transactions are estimated to reach US$ 22.9 billion (IDR 331
The Government of Indonesia offers a streamlined process for MSMEs to obtain business permits, using the online single submission system (“OSS”). MSMEs can now obtain a business identification number (“NIB”) in as fast as 30 minutes. Investment Minister, Bahlil Lahadalia,
As small businesses (“MSMEs”) are increasingly turning to digital solutions to operate, fintechs are working hard to effectively reach the MSME segment. Latest national data reveals that 11.7 million MSMEs have entered the digital ecosystem, as of early 2021. The
President Joko Widodo is distributing cash assistance (“BPUM”) to micro enterprise owners of US$ 80 (IDR 1.2 million). The total allocated budget for BPUM is US$ 1 billion (IDR 15.3 trillion), with plans to reach 12.8 million micro businesses throughout
The partnership between Grab and Emtek has been strengthened by onboarding Bukalapak to the collaboration. Grab and Emtek, a media conglomerate, are currently collaborating to create an MSME acceleration program called the Kota Mapan Festival, which will be held in
Bank Indonesia (BI) plans to increase the minimum proportion of MSME lending from 20% to 30% by 2024. Currently, only half of the banks in Indonesia meet the minimum requirement. The remaining banks have not been successful in allocating 20%
P2P actors have been focused on financing MSMEs in Indonesia. Modalku has disbursed +US$1.68 billion (IDR24.5 trillion) to 4.6 million MSME across Indonesia, Singapore, Malaysia and Thailand. Similarly, Koinworks stated that it had disbursed US$70 million (IDR1 trillion) in 2021
With effect from 1 May 2021, the government mandates supermarkets and shopping centres to provide up to 30% of its retail space for MSMEs. This is an increase from the previous mandate of 20%. The management of shopping centers are
Many MSMEs reported a rise in incomes due to business digitization and ability to reach a wider customer base. During the pandemic, ~12 million MSMEs switched to online platforms to sell their products. The government is targeting 18 million more
Institute of Development Economics and Finance (Indef) economist, Bhima Yudhistira, stated that State-owned Enterprises (SOEs) play an important role in the absorption of MSME goods. According to Bhima, through the job creation law, the central and local governments have the
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