The ministry's assistant deputy of entrepreneur financing and entrepreneurial functional official management, Edhi Kusdiyarwoko Dwikuncono, stated that the funding will be provided through a sharia financing scheme in the Entrepreneur Financial Fiesta (EFF) programme.
"The 2024 EFF takes place to give a new boost to MSMEs' development in Indonesia. We are committed to supporting our entrepreneurs through easier financing access and holistic assistance," Dwikuncono noted as per the written statement received here, Thursday.
He affirmed that the funding is provided to accelerate the development of micro-scale enterprises in Indonesia.
The funding will be accessible for participating MSMEs through the securities crowdfunding facility provided by LBS Urun Dana, a secure and legal sharia financing online platform overseen by the Financial Services Authority (OJK), the official explained.
The ministry will also provide webinars and mentoring sessions for MSMEs entrepreneurs to develop themselves and improve their quality during the 2024 EFF, taking place from February to June 2024, he revealed.
Meanwhile, Co-operatives and Small and Medium Enterprises Minister Teten Masduki stated on Wednesday (February 7) that Indonesian MSMEs' credit access is the lowest in Asia.
According to the minister, the requirement of collateral to have one's credit application approved is an aspect that discourages MSMEs accessing credit financing.
Among Asian countries, Indonesian MSMEs' credit access is only at 21 percent, as compared to China and Japan, at 60 percent, or South Korea, which has reached the level of 80 percent, he noted.
To address the issue, Masduki stated that his side is developing a special credit scoring system that allows MSMEs' credit application to be assessed by their business performance.
Related news: Jokowi meets micro business owners in N Sumatra, lauds loan repayment
Related news: Committed to building collaboration to develop MSMEs: ministry
Related news: MSMEs are key to optimizing potentials of villages: Minister Masduki
Translator: Ahmad Muzdaffar F, Nabil Ihsan
Editor: Azis Kurmala
Copyright © ANTARA 2024
