Ongoing digital transformation to spur development of MSMEs: Minister

Ongoing digital transformation to spur development of MSMEs: Minister

Coordinating Minsiter for Economic Affairs Airlangga Hartarto. (ANTARA/Handout- PR of Coordinating Ministry of Economic Affairs)

Jakarta (ANTARA) - Coordinating Economic Affairs Minister Airlangga Hartarto expressed belief that the ongoing digital transformation can aid in propelling the development of Micro, Small, and Medium Enterprises (MSMEs) in Indonesia.

The digital transformation of MSMEs was triggered by the COVID-19 pandemic, the coordinating minister remarked during the launch of the GrabForGood 2020 #TerusUsaha 2020 Program to support Indonesian MSMEs here on Tuesday.

During the application of Large-Scale Social Distancing (PSBB) measures, digital infrastructure and services have evolved into a backbone for various productive activities, including working from home, online selling, and schooling from home.

"The pandemic has made digital transformation a necessity. Migration from offline to online is something that the community direly needs. Various countries have encouraged economic digitalization so as not to be left behind," he noted.

The digital transformation is not only beneficial to boost efficiency and productivity but also promote inclusiveness.

Hence, the government has committed to creating a conducive business environment for MSMEs to conduct their businesses online.

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Hartarto also put the spotlight on the criticality of training for those engaged in MSMEs to help them survive and develop in the digital ecosystem.

"Of course, with digitalization, the number of supply chains will decrease, so that efficiency will be achieved. Just as the online-based food stalls, it must also be lauded, and we are upbeat about increasingly more number of similar (online businesses)," Hartarto emphasized.

Furthermore, the government has encouraged electronic-based trading transactions, or e-commerce, to become instruments to realize economic equality.

Although most people can easily adapt to the digital era, other groups still exist that have yet to access or utilize digital services.

"The government will encourage to further reduce costs to achieve this digitization. Smartphones are also expected to be more affordable, so more people can use them," he stated.

On the occasion, he lauded Grab for its commitment to supporting MSMEs in the country through the GrabForGood 2020 #TerusUsaha Program dedicated to help MSMEs adapt and develop in the new normal amid the COVID-19 pandemic. This commitment is also aligns with the #BanggaBuatanIndonesia program initiated by the government to promote domestic products. Related news: Govt offering Rp400 bln in ultra microcredit to MSMEs

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