“As of January 23, 2026, approximately 2,826 SMEs were reported as affected across the three provinces in Sumatra,” he said during a working meeting with the House of Representatives (DPR) on Monday.
He detailed that Aceh recorded the highest number of affected SMEs with 1,960 units, followed by West Sumatra with 647 units and North Sumatra with 217 units.
In terms of subsectors, the majority of affected SMEs are in food, furniture, and building materials (1,706 units), followed by chemicals, textiles, and handicrafts (699 units), and metals, machinery, and miscellaneous sectors (408 units).
Kartasasmita explained that he has issued Ministerial Instruction No. 1 of 2026 on the recovery of small industries in disaster-affected areas to accelerate on-the-ground assistance.
The recovery program will be implemented through a “restart small industries” scheme using two approaches: a cluster-based approach via shared production houses and an enterprise unit-based approach through direct facilitation to business groups.
The first phase runs from January to February 2026, focusing on rapid assistance to enable SMEs to resume production immediately. The second phase will continue throughout 2026 through proposal submissions and field verification.
Initial field verification confirmed 2,824 affected SMEs. Estimated needs for machinery and equipment total approximately Rp98.84 billion (US$5.87 million), assuming an average of Rp35 million (US$2,080) per business unit.
The program also includes support for financing access, market recovery and expansion, and product quality improvement through mentoring and certification.
“When combined with other supporting programs, the total post-disaster SME recovery budget is estimated at Rp318 billion (around US$18.9 million),” Kartasasmita said.
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Translator: Aria, Kenzu
Editor: Arie Novarina
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