Indonesia targets 20 million MSMEs to enter digital ecosystem in 2022

Jakarta (Indonesia Window) – The Indonesian Ministry of Cooperatives and SMEs (small and medium enterprises) targets 30 percent of the total micro, small and medium enterprises (MSMEs) or 20 million MSMEs in the country to be connected to the digital ecosystem.

As of December 2021, as many as 17.25 million MSME players have been onboarding into the digital ecosystem.

The Ministry of Cooperatives and SMEs targets 30 million MSMEs to be digitized by 2024.

In addition, 202 cooperatives have entered the digital ecosystem of 100 cooperatives targeted in 2021, and other 200 cooperatives are expected to join this year.

In 2021, the ministry collaborated with various parties, namely e-commerce platforms such as Tokopedia, Lazada, Shopee, Blibli and Bukalapak, and delivery service companies such as Gojek, Grab, and other stakeholders, in order to accelerate the digitization of cooperatives and MSMEs in the country.

In an effort to increase the business capacity of MSMEs players, the ministry also cooperates with 11 private incubators and universities.

In 2022, the ministry’s will focus on carrying out a transformative recovery agenda by prioritizing 70 percent of its programs, targeting MSMEs and cooperatives, young people, women, and supporting the development of environmentally friendly businesses.

In addition, the government has shifted financial access for MSMEs and cooperatives from the trade to the real sectors.

Reporting by Indonesia Window