In 2024 There Will Be 30 Million MSMEs Starting On Boarding To Digital, Indonesian Chamber Of Commerce And Industry: The Government Must Make Supporting Rules

JAKARTA - The Chamber of Commerce and Industry (Kadin) strongly supports the government's target to be able to bring 30 million MSMEs on boarding to digital in 2024. This target must of course be accompanied by strong parameters and data starting from how many MSMEs have digitized, then when should the target be realized by the government.

However, if without a clear target and stage, the effort to encourage MSMEs to be able to advance to class is only limited to a statement without meaning.

Based on data as of August 2023, the MSME sector contributed 61% to Gross Domestic Product (GDP), or worth Rp9,580 trillion, and even the contribution of MSMEs to employment reached 97 percent of the total workforce. Based on data from the Ministry of Cooperatives and SMEs, Indonesia has 65.5 million MSMEs, which amount to 99 percent of the total business units.

Deputy of the Permanent Committee for Asia Pacific Kadin Bambang Budi Suwarso revealed, in addition to the parameters to be able to measure how many MSMEs have digitized. The government must also make supporting rules, so that MSMEs that are already on digital boarding can develop more quickly.

"As for the supporting regulations, for example, regarding financing issues, where these MSMEs still have difficulty getting financing from banks. Therefore, the role of the government is very much needed so that MSMEs can develop quickly," said Bambang in a written statement, Thursday, December 14.

Bambang also added that the government's efforts to encourage MSMEs to advance to class by digitizing are the right steps. The reason is, with Go Digital, these MSMEs can have quality according to international standards. Thus, the products produced can compete with other countries.

"Go digital is only one of the accelerations in the marketing process, it needs integrated ecosystem support which includes labor training, operational efficiency, continuity of raw materials, quality supervision according to international standards," he added.

Meanwhile, the government is optimistic that by 2024 it can bring 30 million MSMEs to go digital. This belief is reflected because throughout 2023, the government has recorded that more and more MSMEs have switched to digital.

In March 2023, there were as many as 22 million MSMEs going digital. Meanwhile, in June 2023, the figure increased to 22.8 million MSMEs and currently there are 27 million MSMEs on digital boarding.