Medan (ANTARA) - The Ministry of Cooperatives and Small and Medium Enterprises' (MSMEs') Micro Enterprises Deputy M. Riza Damanik said the Festival for Micro Business Facilitation and Protection in North Tapanuli, North Sumatra, helps strengthen the region’s economy.

"The festival aims to boost MSMEs that contribute to regional and national economic growth, as well as generate employment opportunities," Damanik stated in North Tapanuli on Friday (July 25).

He emphasized that this contribution stems from the ministry’s ongoing efforts to help micro enterprises transition from the informal to the formal sector.

"As more micro businesses formalize, their productivity and competitiveness also improve," he remarked.

According to the deputy, the participation of 1,200 MSME players from around Lake Toba in the festival demonstrates rising interest in accessing government services, including business permits, financing, legal entity establishment, and other forms of support.

The event in North Tapanuli is part of a nationwide series, with similar festivals previously held in Pontianak, West Kalimantan, and Trenggalek District.

Related news: Indonesian govt committed to empowering MSMEs: minister

The festival aligns with Government Regulation No. 7 of 2021 concerning the facilitation, protection, and empowerment of cooperatives and MSMEs.

"Currently, MSMEs have access to 21 services, including legal entity registration under the Directorate General of General Legal Administration (AHU), halal certification, sole proprietorship registration, business insurance, employment insurance, and legal aid," he explained.

Commission VII of the House of Representatives (DPR RI) expressed its appreciation for the ministry’s initiative in holding the Micro Business Facilitation and Protection Festival (KPUM) in North Tapanuli.

Deputy Chair of Commission VII, Lamhot Sinaga, said the festival represents a concrete step by the government to foster economic growth, including in North Sumatra.

"Our micro businesses need facilitation and protection. Today, the Ministry of MSMEs has proven its commitment to delivering that," Sinaga stated.

He added that such initiatives serve as a bridge for communities—especially micro business actors—to scale up their enterprises and move up the economic ladder.

Related news: Why Indonesia needs 
data-backed co-op, MSME transformation



Translator: Sahbainy, Azis Kurmala
Editor: Rahmad Nasution
Copyright © ANTARA 2025