By : Dwi Putro )*
In the midst of uncertain global economic challenges, the Indonesian government is increasingly aggressive in implementing policies to strengthen the capacity of Micro, Small and Medium Enterprises (MSMEs) as a strategic step to encourage national economic growth and strengthen the country’s economic resilience. The significant contribution of MSMEs to Gross Domestic Product (GDP) and employment has made strengthening the capacity of MSMEs a main focus in government economic policy.
MSMEs play an important role in Indonesia’s economic structure. According to data from the Ministry of Cooperatives and SMEs, MSMEs contribute around 60% of national GDP and absorb more than 97% of the workforce in the non-agricultural sector. The existence of MSMEs not only contributes to the economy, but also plays a key role in equalizing community welfare in various regions, including remote and rural areas.
Despite their large contribution, many MSMEs face various challenges, ranging from limited access to financing, difficulties in accessing markets, to managerial and technical problems. For this reason, the government feels it is necessary to strengthen the capacity of MSMEs to ensure sustainable and inclusive growth.
Various regional governments continue to make efforts to strengthen the MSME sector in each region. One of them is that the Tangerang City Government (Pemkot) is committed to developing the Micro, Small and Medium Enterprises (MSME) sector in an effort to stimulate the economy of the people of Tangerang City.
Head of the Department of Industry, Trade, Cooperatives and Small and Medium Enterprises (Disperindagkop UKM) Tanggerang City, Suli Rosadi, said that the Department of Industry, Trade, Cooperatives and Small and Medium Enterprises (Disperindagkop UKM) in Tanggerang City, Suli Rosadi, said that the Department of Industry, Trade and Cooperatives for MSMEs is also increasing the capacity and competence of MSMEs through various kinds of training such as digital marketing, stylish food , product packaging design and business consultation or mentoring clinic services. MSMEs. Through these various programs, Tangerang City MSMEs will be superior, advanced and competitive.
Meanwhile, Senior Deputy Governor of Bank Indonesia, Destry Damayanti, said that in the Central Java region, Bank Indonesia Solo and related stakeholders are synergizing and collaborating strongly in efforts to develop Solo Raya MSMEs so as to create sustainable economic growth. He added that all MSMEs and economic actors helped stabilize Indonesia’s economic and monetary finances.
The government has launched various policy initiatives to strengthen the capacity of MSMEs. The government has introduced various financing programs that are more easily accessible to MSMEs. The People’s Business Credit Program (KUR) is one important initiative that offers credit with low interest and more flexible terms. Apart from that, the government also supports the development of fintech which provides alternative financing solutions for MSMEs.
The government hopes that more and more people will be encouraged to take advantage of the KUR program which is intended by the government to support MSMEs in developing their businesses. Chairperson of the Coordinating Ministry for the Economy’s Darma Wanita Association (DWP) Anna Susiwijono said that the KUR program coordinated by the Coordinating Ministry for the Economy through banking was indeed very useful and inclusive.
The government is also focusing on training and skills development for MSME players. This training program covers various aspects, from business management, digital marketing, to product innovation because with better skills, MSMEs are expected to increase their competitiveness and operational efficiency.
Through the mentoring program, the government provides technical and managerial guidance to MSMEs. This assistance aims to help MSMEs in business planning, financial management and marketing strategies. Apart from that, the government is also encouraging the formation of MSME communities that support each other.
The government is working with e-commerce platforms and marketplaces to help MSMEs market their products online. These programs provide training and access to digital platforms that can expand the market reach of MSMEs, both at the national and international levels.
The policy of strengthening MSME capacity is expected to have a significant positive impact on Indonesia’s economic growth. With training and technical support, it is hoped that MSMEs can increase their competitiveness in both domestic and international markets, thereby helping to increase exports and diversify markets.
In addition, strengthening MSMEs can help achieve economic equality by providing business opportunities in various regions, including less developed areas, which support more inclusive and sustainable economic growth. Stronger MSMEs can reduce dependence on imports and increase economic independence, which is very important to strengthen the country’s economic resilience amidst global uncertainty.
Strengthening the capacity of MSMEs is a crucial strategic step in efforts to encourage Indonesia’s economic growth. The policies implemented by the government cover various important aspects, from access to financing, skills training, to marketing support. Although challenges in implementation still exist, the positive impact of this policy is expected to make a significant contribution to economic growth and community welfare.
Cooperation between government, the private sector and society is necessary to ensure the success of this policy. Continuous support and good coordination will be the key to overcoming challenges and maximizing the potential of MSMEs. Because with consistent commitment and efforts, Indonesian MSMEs can continue to develop and play an important role in national economic growth.
)* Economics Student, University of Surakarta
