Jakarta (ANTARA) - The existence of micro, small, and medium enterprises (MSMEs) is essential to develop and maintain the economic, social, and cultural potentials of Indonesian villages, Cooperatives and Small and Medium Enterprises Minister Teten Masduki stated.

"MSMEs are not merely business entities, as they also serve as the source of our economy and our spirit of entrepreneurship," Masduki noted in a statement received here on Thursday.

The minister emphasized that Indonesian MSME actors have been contributing significantly to the country's gross domestic product (GDP) and their participation is expected to drive a more inclusive economy at home.

He noted that the number of MSMEs in Indonesia is forecast to reach 83.3 million by 2034, affirming their position as significant contributors to the country's national economy as a whole.

"Villages in Indonesia wield enormous potential to take part in developing MSMEs. Indonesian villages possess a wealth of natural resources and various appeals, including handcrafts, tourism, agriculture, and creative industry," he remarked.

Masduki affirmed that the government is committed to leading domestic MSMEs into progress by incorporating them into a special business cluster that is expected to meet the needs of villages and Indonesia as a whole.

"Currently, the Cooperative and Small and Medium Enterprises Ministry is developing joint production houses in 10 regions across Indonesia. We are aiming for professional management, from the upstream and downstream sectors, in the production houses," he pointed out.

He then applauded state-owned Bank Rakyat Indonesia (BRI) for its steadfast commitment to empowering Indonesian villages through its BRILiaN Village Program that had succeeded in empowering a total of 3,178 villages across Indonesia in 2023.

The program is focusing on mobilizing village-owned enterprises as the economic engine of villages, promoting digital technology and products in rural areas, encouraging villagers to innovate, and pushing for village sustainability and resilience.

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Translator: Kuntum K, Tegar Nurfitra
Editor: Arie Novarina
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