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JAKARTA – Coordinating Minister for the Economy Airlangga Hartarto said Indonesia was on the right track in facing the current crisis and challenges.

According to him, better handling of COVID-19 has stimulated domestic economic activity. Indonesia has also implemented the National Economic Recovery Program (PEN) which focuses on business incentives and support for MSMEs.

"By ensuring inclusiveness, we will be able to build a society that is stronger and more resilient after the pandemic," he said in an official statement quoted on Friday, May 13.

Airlangga added, as a visible result of the Indonesian economy which was able to grow in the range of 5.01 percent in the first quarter of 2022.

“The trade balance still recorded a surplus for 23 consecutive months, including the exchange rate and the JCI was still strong, and Indonesia's external debt to GDP ratio was still at a safe level. The improved economic projection will also create public and investor confidence, so that local economic activity will also increase," he said.

Furthermore, he explained that in order to maintain the momentum of economic recovery and achieve better economic growth, the government believes that the key is to strengthen MSMEs. In the history of various global financial crises, MSMEs have proven to be strong in supporting the national economy.

In addition, the MSMEs also play an important role in increasing investment and Indonesia's exports. Total investment in this sector reached 60.42 percent of Indonesia's total investment and contributed 15.65 percent to national non-oil exports.

"The government also continues to strengthen the participation of MSMEs in the digital economy ecosystem through various licensing facilities and regulatory support," he concluded.


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