This is the first step. This Rp1.5 trillion is the first step. In future, we will do it every month
Jakarta (ANTARA) - The Investment Coordinating Board (BKPM) facilitates potential partnerships, with a contract value of Rp1.5 trillion, for 56 large businesses and 196 micro, small, and medium enterprises (MSMEs).

At the signing of the Cooperation in the Foreign Investment Partnership (PMA) and Domestic Investment (PMDN) with MSMEs in Jakarta, Monday, BKPM Head Bahlil Lahadalia stated that this potential is yet in its nascent stages.

"This is the first step. This Rp1.5 trillion is the first step. In future, we will do it every month," Lahadalia noted in his report to President Joko Widodo at the virtual event.

The BKPM head admitted that BKPM's steps to marry large businesses and MSMEs were replete with challenges. He also sought the understanding of big entrepreneurs to involve MSMEs and regional entrepreneurs.

"This is honest. There are those horrified by this policy because we will serve entrepreneurs. However, the entrepreneurs must also understand that they have to involve local enterprises," he explained.

With a background as an entrepreneur, Bahlil revealed that the obligation to encourage partnerships between large businesses and MSMEs should be fulfilled firmly to encourage equity in order to realize social justice.

The partnership program collaborates with 56 large businesses, comprising 29 foreign investment (PMA) companies and 27 domestic investment (PMDN) companies, with 196 MSMEs spread across Indonesia.

The program also aligns with President Joko Widodo's directive to ensure that any investment that enters must be married with national entrepreneurs or local MSMEs.

Hence, hopes ride high over investment in Indonesia having a positive impact on the national economy, especially at a time when the COVID-19 pandemic continues unabated.

The partnership between large businesses and MSMEs is expected to have a twofold impact on local communities, with the influx of investments into their regions.

For MSMEs, the benefits felt will boost product quality and open up opportunities for MSMEs to rise up the level.

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Translator: Ade Junida, Azis Kurmala
Editor: Fardah Assegaf
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