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MSMEs Form Diplomacy in Indonesia’s G20 Presidency


By: Aprilian Hutapea )*

The G20 presidency in 2022 held by Indonesia is very profitable because as the host, it can ‘sell’ investment and tourism. In addition, in the Presidency, Micro, Small and Medium Enterprises (MSMEs) become state diplomacy, because they introduce Indonesian culture from their products. MSMEs will be increasingly recognized by the international world and can increase their income.

The G20 is a collection of 20 countries that have come together to help each other for mutual progress, and this year Indonesia has the honor of being the presidency. Indonesia set a record for being the first developing country to become the G20 presidency. This trust is well-held and Indonesia is trying to be a friendly host for all G20 delegates.

Indonesia’s task as the presidency is not only to host the G20, but also to promote it, so that the organization of this forum runs smoothly and makes the government more trusted by other countries. In the 4th meeting of the G20 finance ministers and central bank governors (FMCBG) at the International Monetary Fund (IMF) building in Washington DC, United States, there was an Indonesian MSME stand.

The visitors of the FMCBG (Finance Minister and Central Bank Governors Meeting) event were very interested in the Indonesian MSME stand which contained authentic Indonesian products. including woven fabrics, batik clothes, handicrafts, and coffee.

Governor of Bank Indonesia Perry Warijiyo stated that the presence of the assisted MSMEs in Washington is part of the G20 Presidency of Indonesia. MSMEs are here to show Indonesia’s diversity in the eyes of the world. It’s only been 2 days, a lot of MSME products have run out so they have to be re-stocked.

Perry added that he was very happy because the coffee corner of Indonesian MSMEs was enjoyed by FMCBG participants. They love its distinctive taste and aroma. The strengthening of the role of MSMEs carried out by Bank Indonesia does not only introduce quality Indonesian products abroad. But also as an effort to empower women.

MSMEs that were present in Washington became the diplomacy of the Indonesian G20 Presidency. Light diplomacy in FMCBG proved to have a positive impact on the participants because it gave a good impression on the 2022 G20 Presidency of Indonesia.

The participants who were the G20 delegates were impressed because they liked coffee and the creations of Indonesian MSMEs, which were beautiful and cultured. With diplomacy from MSMEs, delegates will be more confident in Indonesia’s leadership at the 2022 G20 Summit. They will definitely come to Bali to attend the meeting, on November 15, 2022.

Diplomacy through MSMEs is very important because they also introduce Indonesian culture. So, the G20 delegates are not only familiar with Balinese culture (as the venue for the summit), but also other regions. Culture is known through woven fabrics and handicrafts in the UMKM stands.

By introducing Indonesian culture, MSMEs become diplomats (unofficially) because they show the beauty of this country in the international world. The delegates will promise to come to Indonesia so that the 2022 G20 Summit will be a great success. Then, they will also vacation in Indonesia whenever they have the opportunity, because they are already fascinated by the beauty of the Island of the Gods.

Meanwhile, MSMEs also appeared at the FMCBG meeting in Washington DC in April 2022. MSMEs were also present at the Dubai Expo, Dubai, United Arab Emirates, in March 2022. On that occasion, 72 Indonesian MSMEs were brought to Dubai.

Elsya MS Chani, Director of the MSME Development and Consumer Development Department of Bank Indonesia, stated that the introduction of Indonesian products by MSMEs emphasized MSMEs as part of the G20 financial pathway agenda in the spirit of Recover Together, Recover Stronger.

Elsya added, Bank Indonesia provided exposure to MSMEs to be better known and the Indonesian Presidency provided better opportunities. From the beginning there was the introduction of the world delegation to Indonesian MSMEs. In addition, domestically, the use of MSME products is also encouraged by state institutions and ministries.

In a sense, MSMEs are not only empowered in Indonesia, but also internationally. With assistance from the government (through BI), MSMEs will increasingly go international and get buyers from various parts of the world. MSMEs must be assisted because they are the backbone of the Indonesian economy.

If MSMEs go international, it is very good because they will grow and get more buyers. Especially during the pandemic, market conditions are a bit sluggish, and now is the opportunity for them to continue to survive and be victorious again. MSMEs are also proud for being the diplomacy of the Indonesian Presidency in international events, and they are introducing the country’s rich culture.

MSMEs become the diplomacy of the G20 Presidency and they sell various handicrafts, woven fabrics, coffee, etc. All of them are original made in Indonesia and are very popular with international customers. In addition to getting benefits and relationships, MSMEs are also proud because they are diplomats of the G20 Presidency and participated in the success of the G20 Summit.

)* The author is a contributor to the Nusantara Reading Room

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