At an event held in Jakarta, Indonesian President Joko Widodo emphasized the importance of micro, small, and medium enterprises (MSMEs) on March 7. He disclosed that there are approximately 65 million MSMEs in Indonesia, contributing 61% to the country's Gross Domestic Product (GDP).
Joko praised the critical role of MSMEs and urged government departments and financial institutions to provide more support to them, so they can have greater development opportunities.
Sunaso, President Director of Bank Rakyat Indonesia, believes that MSMEs are a key factor driving Indonesia's economic development. He pointed out that the transformation of Indonesia from a low-income country to a middle-income country was driven by MSMEs. He stressed that in the current context of increasing global economic uncertainty, Indonesia's economy still has growth potential, and one of the main driving forces remains MSMEs.
Indonesia's Minister of Finance, Sri Mulyani, also expressed the same view, noting that 97% of jobs in Indonesia are created by MSMEs. This proportion is relatively high compared to other countries. However, she also mentioned that the share of bank credit for Indonesian MSMEs is only 20%, which is still relatively low compared to other countries.
The head of Indonesia's MSME department also commented, stating that the difficulties MSMEs face in bank financing are mainly due to a lack of collateral and the fact that many MSMEs have not yet accessed the banking service system.
Therefore, industry experts have called on Indonesian banks and financial institutions to help MSMEs increase their credit ratio and lower their loan interest rates.
Source: China News Service, Jakarta (Editor: Wang Dong)
At an event held in Jakarta, Indonesian President Joko Widodo emphasized the importance of micro, small, and medium enterprises (MSMEs) on March 7. He disclosed that there are approximately 65 million MSMEs in Indonesia, contributing 61% to the country's Gross Domestic Product (GDP).
Joko praised the critical role of MSMEs and urged government departments and financial institutions to provide more support to them, so they can have greater development opportunities.
Sunaso, President Director of Bank Rakyat Indonesia, believes that MSMEs are a key factor driving Indonesia's economic development. He pointed out that the transformation of Indonesia from a low-income country to a middle-income country was driven by MSMEs. He stressed that in the current context of increasing global economic uncertainty, Indonesia's economy still has growth potential, and one of the main driving forces remains MSMEs.
Indonesia's Minister of Finance, Sri Mulyani, also expressed the same view, noting that 97% of jobs in Indonesia are created by MSMEs. This proportion is relatively high compared to other countries. However, she also mentioned that the share of bank credit for Indonesian MSMEs is only 20%, which is still relatively low compared to other countries.
The head of Indonesia's MSME department also commented, stating that the difficulties MSMEs face in bank financing are mainly due to a lack of collateral and the fact that many MSMEs have not yet accessed the banking service system.
Therefore, industry experts have called on Indonesian banks and financial institutions to help MSMEs increase their credit ratio and lower their loan interest rates.
Source: China News Service, Jakarta (Editor: Wang Dong)
