BRI Microfinance Outlook 2025 Lifts MSMEs And Iklusive Economy

JAKARTA - PT Bank Rakyat Indonesia (Persero) Tbk (BBRI) will again hold BRI Microfinance Outlook 2025 at the BSD City International Convention Exhibition (ICE) on January 30, 2025.

BRI Microfinance Outlook 2025 can be watched via live streaming on BRI's YouTube channel.

BRI Microfinance Outlook will focus on discussing strategies to support the people's economy through community empowerment as a means to encourage inclusive national economic growth.

For your information, BRI Microfinance Outlook is an annual event organized by BRI with the aim of discussing the role of MSMEs as an inclusive source of economic growth.

This event was packaged in the form of a seminar by presenting speakers from experts, professionals, and government regulators.

BRI Microfinance Outlook 2025 will carry the theme Empowering the People's Economy: A Pillar for Achieving Inclusive & Sustainable Growth.

Just so you know, in the last three decades since 1993, Indonesia has been classified as a middle-income country.

An acceleration of the source of economic growth is needed to encourage Indonesia to get out of the trap of middle-income traps (MITs).

Therefore, the Indonesian economy still needs to grow inclusively so that all levels of society can achieve prosperity.

Inclusive development is an integral part of the concept of the Economy of People in Indonesia, as outlined in Article 33 of the 1945 Constitution (UUD).

The People's Economy has the main goal of realizing prosperity for all citizens through collective efforts to build an economic system based on the principle of kinship.

One of the inclusive economic development strategies is to optimize the role of Micro, Small, and Medium Enterprises (MSMEs).

The reason is, the MSME segment is a major contributor to the Indonesian economy.

In this case, MSMEs will be able to contribute 59.5 percent to Gross Domestic Product (GDP) in 2021 and employment by 97.0 percent in the same year.

This means that empowering MSMEs means supporting the grassroots business.

The high contribution of MSMEs to employment and economic growth has prompted policymakers and other institutions to support the productivity and sustainability of MSMEs.

This is in line with the government's efforts to increase per capita income which is part of the 2045 Golden Indonesia Vision.

In accordance with Indonesia Gold's 2045 Vision, BRI plays a role in the development of MSMEs and inclusive economic growth.

With a focus on MSMEs, the acceleration of BRI credit growth has a higher multiplier effect or multiplier effect (BRI credit multiplier = 0.05) on the national economy compared to industrial credit (industrial credit multiplier = 0.03).

This is considering that the structure of the Indonesian economy is dominated by MSMEs. Not to forget, BRI's contribution to national economic growth continues to increase from year to year.

To discuss further efforts to encourage inclusive economic growth as well as BRI's role in advancing the national MSME segment, a number of big figures will attend BRI Microfinance Outlook 2025. Among them are Indonesian Finance Minister Sri Mulyani, Indonesian National Development Planning Minister Rachmat Pambudy, and BRI President Director Sunarso.

In addition, a number of world economists will also attend the event. Among them are Chief Economist of Asian Development Bank Albert Francis Park, Nobel Prize Economic Science Paul Romer, and Head of Regional Client Services at Women's World Banking, Harsha Rodrigues

On this occasion, the President Director of BRI, Sunarso will open a series of events through opening speech. After that, the Minister of Finance of the Republic of Indonesia Sri Mulyani is planned to also provide a keynote speech.

Followed by a discussion of the first session entitled "Financial Inclusion as the Main Strategy for Dealing with Middle Class Traps" by Albert Francis Park, Rachmat Pambudy, and Brooke Total.

Albert Park will discuss current global market conditions and future predictions, and how to impact Indonesia, the main strategy to improve microfinance in order to contribute to economic growth, the government's role in increasing financial access for MSMEs as well as potential challenges and solutions to increase financial access for people who have not been served.

Meanwhile, Rachmat Pambudy will explain the importance of Small Business in Economic Growth in the Context of the Unitary State of the Republic of Indonesia to how the welfare of society can be achieved together and felt by all Indonesian people.

This discussion is also filled by Brooke Total who will explain the main strategy to improve microfinance in order to contribute to economic growth, the government's role in increasing financial access for MSMEs, and potential challenges and solutions to increase financial access for people who have not been served.

BRI Microfinance Outlook 2025 also invited Nobel Prize Economic Science Paul Romer to fill the seminar for the second session entitled "The Key to Success in Increasing Inclusive Growth in Developing Countries Facing Medium Revenue Traps".

Paul Romer will discuss the main strategy to increase micro-financing in order to contribute to economic growth with main insights including the important role of innovation in increasing MSME productivity and competitiveness, the importance of integrating technology in micro-financial to facilitate better services and financial inclusion.

Then, strategies to encourage collaboration between financial and local institutions to create a sustainable economic ecosystem as well as recommendations for a policy framework that supports inclusive growth through education and innovation.