Every Public Infrastructure Must Give MSME Promotion Space 30 Percent

Photo via Antara

JAKARTA - Public infrastructure is required to provide 30 percent promotional space for the Micro, Small and Medium Enterprises (MSME) sector. This is an effort to improve the ecosystem in favor of the people's economy.

This was conveyed by the Minister of Cooperatives and SMEs, Teten Masduki, after signing a memorandum of understanding regarding the provision of a place for promotion and development of cooperatives and SMEs between the Ministry of Cooperatives and SMEs, the Ministry of Public Works and Public Housing, the Ministry of SOEs, and the Ministry of Transportation at Rest Area KM 260B Banjaratma, Brebes, Central Java, Friday 15 July.

"Now the managers of rest areas, terminals, stations, and airports need not hesitate anymore. Even though 100% of their products are MSMEs, they are actually able to attract bigger visitors, so that it becomes a tremendous attraction," said Teten through an official statement quoted by Antara.

Rest Area KM 260B Banjaratma was chosen because the management in the area was considered very good so that the location became a role model for public infrastructure providers in providing promotional space for MSMEs.

Nearly 100 percent of the tenants or 158 businesses in the KM 260B Banjaratma Rest Area are for MSMEs. The details are 130 SMEs with food, beverage, handicraft and souvenir products. As well as 28 MSMEs from Central Batik Indonesia's fashion products.

"I thank the Banjaratma management because from the start it has provided convenience for MSMEs, especially regarding tariffs. Even at the beginning of the COVID-19 pandemic, rental exemptions were given with a reduction of up to 50 percent," he said.

In its development, the Coordinating Minister continued, many public spaces come from abandoned assets that are used as a gathering place for young people.

For example, at M Bloc Jakarta, which has succeeded in attracting 11 thousand visitors every day, or almost the same as the number of visits to large malls. Then there are Pos Bloc and Sarinah in Jakarta, as well as Fabriek Bloc in West Sumatra which attracts up to 41 thousand visitors.

"We need to accompany MSMEs and be given space, so they are strong. MSMEs are no longer placed as a buffer, but as a subsistence economy, namely as the foundation of the national economy," said Teten.

The joint memorandum of understanding was prepared in accordance with the mandate of Government Regulation (PP) Number 7 of 2021 concerning Ease, Protection, and Empowerment of Cooperatives and SMEs.

The mandate mandates ministries/agencies, local governments, BUMN, BUMD, or private business entities to provide a place for promotion of MSE development at least 30 percent of the total commercial area land area, shopping area area, and strategic promotion places on public infrastructure.