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Job Creation Law Creates Entrepreneur Competitiveness

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By: Putu Raditya ) *

The Omnibus Law The Job Creation Law is designed to benefit various parties, including entrepreneurs. There is an ease of doing business cluster and an MSME cluster that will smooth the intentions of business people to legalize their business. No matter how small the business of MSMEs, the government will support it through articles in the Job Creation Law.

Today, Indonesian entrepreneurs are facilitated by the internet, so they can expand the market. But unfortunately, steps to follow the spor can be bumped into several things, because clients abroad tend to be more strict in rules. An entrepreneur, even though he is only at the UMKM level, is required to have an official permit and if he exports to the Arabian Peninsula, he must have a halal certificate.

Because of this , the government has been drafting the omnibus law draft on the Job Creation Law for months and finally it was inaugurated on October 8, 2020. In the omnibus law there are 11 clusters and among them there are MSME clusters and ease of doing business. So that it changes the old rules to become new and makes licensing easier so that entrepreneurs can legalize their business.

Shinta Kamdani , deputy chairman of KADIN, stated that the omnibus law is a way to enable Indonesian entrepreneurs to enter the global market. They can compete with businessmen from other countries and move freely into the international market. So that this law really benefits MSME entrepreneurs so they can level up.

In the omnibus law, licensing matters will be made easier, so there is no need to wait long and go through a complicated process . UMKM entrepreneurs who have a permit can export their products calmly, because they already have legality. They stay focused on the improvement of product quality and mem- branding in order to be eligible to enter into the global market.

Shinta also added that there are articles in the omnibus law that are the result of input from entrepreneurs, who have so far been troubled by licensing matters. So that after the law was enacted, the bureaucratic confusion can be trimmed. The path is shortened so that the MSME business people are enthusiastic about legalizing their business.

The Omnibus law also makes it easier for entrepreneurs to get halal certification, because the costs are borne by the government. With this certificate, it can expand to the Arabian peninsula and other Muslim countries . Because they always ask for proof of the halalness of the product.

Minister of Trade Agus Suparmanto also explained the ease of licensing for MSMEs. According to him, currently the licensing issue has indeed been changed so that it can be faster, more effective and efficient. Also uniform government policy. So that people do not get confused between the different rules from the regional government and the central government.

After the permit is issued, the businessman thinks about expansion. UMKM entrepreneurs who have limited capital but their products have the potential to be exported, can get an injection of funds from foreign investment. Because from the omnibus law investment cluster , licensing will be made easier for investment.

Foreign investors can be interested in doing business in Indonesia and looking for MSME entrepreneurs to become partners. This cooperation is expected to free Indonesia from the financial crisis and middle income trap . So that the per capita income also increases and the status from middle to developed countries. Because one indication is the amount of investment .

Cooperation between investors and local entrepreneurs is not only profitable in the financial sector. However, investors who enter our country are obliged to transfer knowledge. So that MSME entrepreneurs gain insight into the global economy and international business . Also knows the tricks of how to conquer foreign markets.

If MSME entrepreneurs associate with foreign investors, they are no longer surprised when dealing with clients from abroad . Because of the cultural and psychological understanding. This is one of the positive effects of the omnibus law , so that entrepreneurs are not familiar and only dwell in their own country .

The Omibus law of the Job Creation Law takes Indonesian entrepreneurs to a higher level, namely the international market. Because there is an easy way to get a business license and foreign investment. Halal certificates can also be obtained free of charge due to subsidies. So that UMKM entrepreneurs can export in peace.

) * The author is a contributor to the Cikini Press Circle and Students

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