Jakarta (ANTARA) - The government will continually support the progress of Micro, Small, and Medium Enterprises (MSMEs) in the digitalization era through various programs, the Communication and Informatics Ministry's Information, Communications, Economics, and Maritime Director Septriana Tangkary stated.

"The government is committed to creating an ecosystem that supports development of the digital economy in Indonesia," Tangkary noted at the MSME talk show in Jakarta, Monday.

One of the government's efforts to support the progress of MSMEs is to provide digital infrastructure that can be utilized by business owners, ranging from MSMEs to e-commerce businesses.

The government will also provide the Digital MSME Credit Program (digiKU) through the Association of State-Owned Banks (Himbara) followed by the MSME Digital Market (PaDi) that encourages State-Owned Enterprises (SOEs) to purchase local products and MSMEs.

Furthermore, the government provides the Final Income Tax (PPh) exemption, which is a tax incentive program for MSMEs, with a final income tax exemption of 0.5 percent.

The fifth program is through procurement from the National Public Procurement Agency (LKPP) that is a platform to help MSME owners to sell their products to the government market followed by Productive Presidential Assistance for MSMEs.

Tangkary noted that the Proud of Indonesian Products National Movement (Gernas BBI) launched by President Joko Widodo in May 2020 aimed to support MSMEs to survive during the pandemic and encourage people to buy local products.

"During the period from June to August 2022, the Ministry of Communication and Informatics will act as the campaign leader for Gernas BBI in Papua Province," she stated.

She highlighted the need to continue to support the progress of MSMEs since they are one of the strongest pillars of the Indonesian economy.

"MSMEs are one of the strongest pillars of the Indonesian economy. There are approximately 65.4 million MSMEs that contribute to the GDP amounting to Rp 8,573.9 trillion," she pointed out.

Tangkary said that the high number of MSMEs has a positive effect on investment absorption. In addition, MSMEs have succeeded in creating 97 percent of the job opportunities by absorbing 117 million workers.

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Translator: Suci Nurhaliza, Resinta S
Editor: Rahmad Nasution
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