"Until the end of 2021, the number of digitized MSMEs reached 16.4 million. I believe the number will continue to grow because, in the future, online transactions that provide convenience will be increasingly needed even if the pandemic ends," he said at the launch of "tjufoo," a digital platform for MSMEs, here on Thursday, according to a press release issued the same day.
Mastery of digital technology is essential, the minister stressed. Therefore, the government has continued to encourage the digitalization of MSMEs to build a digital economic ecosystem and accelerate national economic recovery, he said. Thus, MSMEs must seize this opportunity, he added.
Moeldoko revealed that the value of digital economy transactions in Indonesia in 2021 grew by 49 percent to reach US$70 billion, the highest in value among 6 ASEAN members, including Singapore, the Philippines, Thailand, and Vietnam.
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This growth was still dominated by the e-commerce segment, which swelled by 52 percent, with transaction value pegged at US$53 billion, he said. Meanwhile, transportation and food delivery services grew 36 percent, with the transaction value reaching US$6.9 billion, he added.
Moeldoko also outlined the various efforts made by the government for making it easier for MSME actors to run their businesses.
The efforts include accommodating a minimum of 40 percent of MSME products in the procurement of goods and services of ministries and agencies, subsidizing smallholder business credit (KUR) interest at 3 percent per year, distributing ultra-micro credit for unbankable MSMEs, and tax incentives, he said.
"In addition, the President also conveyed directions to increase the MSME credit ratio in banks by providing many conveniences. The target is to reach 30 percent in 2024. This is being done so that MSMEs can grow and support the national economy," he said.
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Translator: Rangga Pandu, Raka Adji
Editor: Suharto
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