Minister Masduki made the statement during the meeting for Digital Transformation and Complete Data Collection of Cooperatives and MSMEs at the State Palace here on Monday.
The minister drew attention to the significant increase in the number of MSMEs that partake in the digital market since 2020 or since the COVID-19 pandemic struck. Masduki highlighted the presence of only eight million MSME-owned digital stores in early 2020, but at the start of 2022, as many as 17.59 million MSMEs had registered on digital platforms.
He remarked that the figure was 27 percent of the total MSME population, or 58 percent of the target of 30 million MSMEs to be involved in the digital ecosystem.
The minister pointed out that digital transformation did not only mean that the MSMEs were showcased on digital platform. Digital transformation was a holistic effort that does not only cover the marketing aspects of MSMEs in the digital space but is also an attempt to create an ecosystem that includes business processes from upstream to downstream of MSMEs, he elaborated.
The meeting was divided into three working groups involving various interests, such as ministries and non-ministerial institutions, Bank of Indonesia, the Financial Services Authority, regional governments, banking financing institutions, and non-state-owned banks, universities, business associations, to incubator institutions and digital platform players, such as e-commerce and fintech.
President Jokowi targets as many as 30 million MSMEs to be able to engage in the digital space by 2024 on account of the rapid developments in the digital economy market over time.
The president expected Indonesia to be more than just a spectator in the midst of massive digital trading activities. However, in order to compete in the digital market, he admits that several aspects should be improved, such as product quality and packaging.
"I have signed Presidential Regulation Number 2 of 2022 about National Entrepreneurship Development for 2021-2024. I want our entrepreneurial ecosystem to improve, (as) there will be more new young entrepreneurs, who are productive, creative, and who are ready to advance Indonesian MSMEs and are ready to compete in the global market," Jokowi stated.
The president urged officials from central and regional governments to work hard in improving the business ecosystem, such as licensing, access to capital, innovation, and technology, to the quality of human resources in the MSME industry.
The president also called for expediting the number of modern digital-based cooperatives. There must be 500 cooperatives in 2024, for which the target would be gradually met from 250 cooperatives in 2022 and 400 cooperatives in 2023.
"If everyone works hard (and) desires the same thing, (then) achieving the target we have set, I'm sure --God willing-- it can be done," he concluded.
Translator: Indra Arief P, Mecca Yumna
Editor: Rahmad Nasution
Copyright © ANTARA 2022
