From The Capital Market For MSMEs: Securities Crowdfunding Becomes A Motor Of Economic Growth

Indonesian capital market (Photo: dock. Antara)

JAKARTA - The securities crowdfunding (SCF) industry in Indonesia is increasingly showing its activity as an alternative funding for micro, small and medium enterprises (MSMEs). Although it is still relatively new and the scale is not large, its growth is considered quite fast, providing new hope for MSMEs that require funding outside the banking route.

Associate Director of Research and Investment Pilarmas Investindo Sekuritas, Maximilianus Nico Demus, assessed that the position of crowdfunding (SCF) securities in the Indonesian capital market ecosystem is currently still in a positive growth phase.

He acknowledged that this product has a low level of popularity in the community, because based on 2024 data it shows that the collection of SCF funds has only reached Rp1.49 trillion, or higher than 2023, which indicates that SCF continues to grow even though slowly.

Nico assessed that crowdfunding has great potential in becoming a bridge between the capital market and the MSME sector, especially with regulatory support from the Financial Services Authority (OJK), and the growth of digital platforms can accelerate crowdfunding penetration in the community.

"Moreover, OJK is increasingly determined to strengthen the Crowdfunding scheme, which brings together investors and business actors in line with the mandate of the Finance Sector Development and Strengthening Law," he explained to VOI, Monday, November 17.

Even so, he stressed that the biggest challenge in making crowdfunding a sustainable alternative funding instrument for MSMEs lies in the aspects of education, literacy, and socialization, because without adequate understanding, SCF adoption will run slowly.

Regarding the opportunities for SCF integration with other capital market instruments such as mutual funds, regional bonds, or micro equity, Nico sees these opportunities open. However, each instrument has different characters, advantages, and shortcomings, so the integration requires in-depth studies and non-simple implementations.

The role of retail investors in supporting MSME financing through crowdfunding, according to him, can be strengthened through more massive socialization with an understanding of risks and potential benefits being the key so that people are more confident and willing to participate.

"Everything will return to understand the risks and enjoy the benefits," he explained.

Nico also believes that SCF can become a motor of economic equity in the regions, because it can be a direct financing solution that brings together investors and business actors effectively, so as to encourage financial inclusion.

"This can be an inclusive financing alternative for small and medium enterprises. Therefore, if this can run well with a strong legal umbrella, then both investors and SME owners, all will become more confident in using SCF," he explained.

In line with that, Deputy Commissioner for Supervision of Capital Market Investment Management and OJK Securities Agency, Eddy Manindo Harahap, said that SCF is now starting to become an alternative funding that is increasingly being taken into account, especially for micro, small and medium enterprises.

"Security crowdfunding has also increased, indeed it is relatively small but the growth is indeed good," he said at the Media Gathering Capital Market Journalist Workshop, Saturday, November 15.

"There are 18 SCF organizers who have received permission from the OJK and collected their funds, we can see that both the number of securities issuers and the emission value also experience quite a decent growth from year to year," he added.

Meanwhile, based on OJK data, it shows a significant upward trend, namely until June 11, 2025, the value of SCF emissions reached IDR 1.74 trillion from 929 securities publishers. This figure grew from the previous year, where in 2024 the emission value was recorded at IDR 1.36 trillion with 713 securities publishers. As for 2023, the emission value is still at IDR 1.04 trillion with 465 publishers.

According to Eddy, although SCF is still in its early stages, its presence brings new hope to MSMEs that require funding outside the banking line.

"So if there are MSME entrepreneurs who need funds, now this is one of the outlets from other outlets that he can take to get funding assistance. Now SCF is one of them, but of course it must follow the provisions for obtaining an applicable SCF," he explained.

According to him, because it is still in the early stages, the number of SCF organizers is still limited and OJK continues to provide guidance to strengthen its industrial foundations.

"We do a lot of coaching to the organizers first. Because there really needs to be reinforcement there first," added Eddy.

In line with that, the President Director of the Indonesian Central Securities Depository (KSEI) Samsul Hidayat, assessed that SCF has become an alternative funding option that is increasingly popular among small and medium enterprises.

He said that the number of effects issued through this scheme had reached around 900, with around 18 active organizers.

Samsul hopes SCF can be a new energy source that drives MSMEs to continue to grow. From a capital market perspective, he sees SCF as the starting gate for companies towards a larger market.

"Hopefully this SCF can provide a kind of new energy, for MSMEs for small and medium companies to be able to move and one of the real things is that the SCF capital market is expected to be the forerunner of the company that will have an IPO in the future, even though it is still far away," he said.

Although the potential for funding through SCF is limited to around Rp. 10 billion, in practice most new publishers are able to raise funds of Rp. 500 million to Rp. 1 billion. However, Samsul explained that the amount still plays an important role for MSMEs that require funding.

In the end, he emphasized that SCF's presence was part of efforts to strengthen the people's economy in Indonesia.

According to him, with the consistent growth and increasing interest in MSMEs, SCF is seen as potentially one of the important pillars in the national funding ecosystem.