Government Launches App to Strengthen Legality and Standardisation of MSMEs

The Ministry of Micro, Small, and Medium Enterprises (UMKM) is committed to strengthening an inclusive and competitive business ecosystem by reinforcing legality and standardisation as the foundation for MSME entrepreneurs to grow, develop, and contribute more significantly to the national economy. Ministry Secretary Loto Srinaita Ginting, speaking at the first UMKM Insight Talkshow series in Jakarta on Wednesday (17/6), said one of the main challenges in MSME empowerment is that entrepreneur data remains scattered across various agencies and cannot be accessed in an integrated manner. To address this challenge, the Ministry has just carried out the soft launch of Superapps Sapa UMKM, an integrated service platform that consolidates data and various services for MSME entrepreneurs in 514 districts and cities across Indonesia. ‘This platform is designed as a container for integrated data and services connecting MSME entrepreneurs in 514 districts and cities throughout Indonesia,’ Loto said, as quoted from a press release received on Thursday (18/6). Loto emphasised that business legality, such as the Business Identification Number (NIB), and standardisation, including halal certification, are essential foundations for MSMEs to grow sustainably and move up the value chain. According to him, business legality and standardisation are the main entry points for MSME entrepreneurs to gain access to various government programmes, ranging from business mentoring, certification, and financing, to other forms of business development facilitation. ‘The government ensures full support for MSME entrepreneurs, including providing certainty of tax incentives that ease their burden. For this reason, the Ministry urges all MSME entrepreneurs not to neglect the aspects of business legality and standardisation,’ he explained. In addition to strengthening legality and standardisation, Loto explained that Superapps Sapa UMKM also presents more accurate data through an analysis feature capable of providing business development recommendations tailored to the profile of each MSME entrepreneur. These recommendations include opportunities to participate in regular training, access to subsidised financing such as People’s Business Credit (KUR) and other alternative capital sources, expansion of market access through the digital ecosystem, and export facilitation through various collaborative programmes. According to Loto, the use of technology supported by cross-sector collaboration will strengthen the transformation process of Indonesian MSMEs to become more professional, adaptive, and independent. ‘Through strong collaboration and targeted use of technology, Indonesian MSMEs are expected to transform professionally and independently, while making an increasingly greater contribution to public welfare and national economic growth,’ he concluded.