Minister of Cooperatives and SMEs Teten Masduki said the government would no longer roll out Productive Assistance for Micro Enterprises (BPUM) or Direct Cash Assistance (BLT) for MSMEs in 2023.
"As of today, the government feels that MSMEs have recovered enough, survive, so that the BPUM grant program is no longer needed," said Teten, quoted from Antara, Monday, December 26.
Nevertheless, Teten admitted, the government will remain on standby while looking at developments next year.
"We will try to evaluate if the progress is not too good, just like in previous years, the government can adjust programs and finance," he explained.
Although global economic conditions in 2023 are considered challenging, said Teten, this could be an opportunity for MSMEs to fill domestic demand.
Moreover, he continued, MSMEs were considered more resilient and able to adapt well even when the COVID-19 pandemic hit the country.
"This is what we will continue to strengthen how to encourage the ease of MSMEs to get access to financing both through KUR and revolving funds for cooperatives, including helping them prepare their products to be more quality, more competitive," said Teten.
The condition of the COVID-19 pandemic is said to have significantly increased the number of MSMEs that have transformed digitally to e-commerce.
At the beginning of the pandemic, it was recorded that only 8 million MSMEs were digitized.
Throughout 2022, the number has increased to 20.76 million MSMEs that have been onboarding to the digital ecosystem, continuing to advance to achieve the target of 30 million MSMEs going digital by 2024.
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