The role of the Micro, Small and Medium Enterprises (MSME) sector cannot be underestimated. Trade Minister Muhammad Lutfi said thanks to MSMEs, the Indonesian economy could move even in a pandemic. "In the pandemic situation in the last two years, MSMEs have proven that they can be the main drivers of the economy," said the Trade Minister in the webinar for the Tribune Series Laskar MSMEs in Bangka Belitung Worldwide, Wednesday (20/4/2022). In 2021 as many as 64.19 million MSMEs contributed to the national Gross Domestic Product (GDP) of 61.97 percent or Rp. 8.6 trillion. The high contribution also affects the creation of jobs. "MSMEs also absorb 119.6 million or 97 percent of the total workforce in Indonesia," continued Lutfi.
In terms of exports, more than 75 percent of exporters are MSMEs, however, their contribution has only reached about 4 percent of the total value of Indonesia's exports. "On this occasion I must encourage MSME players throughout Indonesia, especially in Bangka Belitung to be able to compete at the global level," he said. The Director General of Domestic Trade at the Ministry of Trade, Oke Nurwan, said that national economic growth is supported by four pillars. The first is household consumption, the second is investment, the third is government spending, and international trade, including MSMEs.
"The contribution from this household is sufficient for the economy, approaching 60 percent and it is in line with the growth of MSMEs," said Oke. Based on data from the Ministry of Cooperatives and SMEs, there are around 64 million SMEs. This means that local MSME actors from year to year fill in products for household needs. "The MSME business sector has an important role in improving Indonesia's economy, as can be seen from its ability to absorb labor and integrate investment by 60.4 percent," said Oke.
