The Ministry of Cooperatives and SMEs recorded that the number of entrepreneurs in Indonesia swelled from 3.21 percent of the population in 2019 to 3.35 percent of the population at the end of President Joko Widodo's administration.
Jakarta (ANTARA) - The Ministry of Cooperatives and Small and Medium Enterprises (SMEs) informed that it helped 642 entrepreneurs and startups obtain a total of Rp195.1 billion (US$12.5 million) in financing in the period from 2021 to 2024.

At a press conference here on Monday, the ministry's deputy for entrepreneurship, Siti Azizah, said that the financing was obtained from non-banking sources, such as venture capitalists, angel investors, and securities crowdfunding providers.

"This is our effort to create entrepreneurs by design, not entrepreneurs by accident," she added.

Azizah informed that the ministry collaborated with around 50 venture capitalists, angel investors, and securities crowdfunding providers, to secure alternative financing access for entrepreneurs and startups.

She said that partnerships with non-bank institutions helped entrepreneurs who were facing challenges in accessing capital, especially in meeting the collateral requirements of banks.

"They (venture capitalists) do not apply interest, but it will be profit sharing," she explained.

"And they (venture capitalists) will provide assistance at the beginning for 2–3 years. Once the company is already healthy, they will leave," she informed.

She said that in addition to supporting financing access, the ministry helped 555 startups participate in business incubation, including bootcamps, coaching clinics, and business matching, to increase the capacity of their businesses.

Furthermore, 8,300 entrepreneurs received capacity-building assistance through business consultations and structured mentoring to suit their needs through the Entrepreneur Development (Entredev) program.

The Ministry of Cooperatives and SMEs recorded that the number of entrepreneurs in Indonesia swelled from 3.21 percent of the population in 2019 to 3.35 percent of the population at the end of President Joko Widodo's administration.

Azizah said that for the nation to achieve developed status, the number of entrepreneurs needs to be increased to at least 4 percent of the total population.

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Translator: Shofi Ayudiana, Raka Adji
Editor: Arie Novarina
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