JAKARTA - Deputy Chairperson of the Indonesian House of Representatives Coordinator for Industry and Development (Korinbang), Rachmat Gobel said, it is time for micro, small and medium enterprises (MSMEs) to rise after Indonesia was hit by the COVID-19 pandemic.
"This is a very good momentum for MSMEs, let's work hard to get up. This momentum must be used as well as possible," said Rachmat Gobel as reported by ANTARA, Thursday, July 14.
Rachmat Gobel said the contribution of MSMEs to the national economy reached more than 60 percent.
"As the backbone of the national economy, MSMEs are Indonesia's strength," he said.
Moreover, he said, the Joko Widodo government has taken sides for the development of MSMEs through the provision of large village funds.
"So let's turn village products into local products, then local products into national products, and finally national products into global products," said Rachmat Gobel.
The former Minister of Trade added that the contribution of MSMEs to total national exports is still relatively small compared to large businesses, although their contribution to GDP is very large.
"This shows that Indonesian MSMEs still need the support of all parties in order to compete at the international level," said Gobel.
According to him, one of the doors to be able to increase the export contribution of MSMEs is through digitization.
"Digitalization is a must. All parties must be able to build an ecosystem so that MSMEs have a sustainable and inclusive support capacity," he said.
Furthermore, Gobel added, as much as 97 percent of the workforce in Indonesia is absorbed by MSMEs, not through large companies.
"So strengthening and promoting MSMEs is a way to develop the region and alleviate poverty," he said.
"Currently, food is an increasingly strategic sector and concerns national security," said Gobel.
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