Government to Support 200,000 SMEs in Sumatra's Post-Disaster Economic Recovery

The government is strengthening economic recovery for communities affected by hydro-meteorological disasters in Aceh, North Sumatra (Sumut), and West Sumatra (Sumbar) through microenterprise development programmes under the Post-Disaster Rehabilitation and Reconstruction Master Plan (Renduk). This move comes as many micro-entrepreneurs have lost capital and struggled to continue their businesses following the disasters. Minister for Micro, Small, and Medium Enterprises (MSMEs) Maman Abdurrahman stated that microenterprise development is a key focus in post-disaster rehabilitation and reconstruction, with total programme support amounting to approximately Rp 900 billion to Rp 1 trillion. ‘Microenterprise development of around Rp 900 billion to Rp 1 trillion is included in Renduk,’ he said in a press release received by Kompas.com on Monday, 25 May 2026. He explained that the economic recovery programme focuses on business capital assistance, particularly for micro-entrepreneurs affected by the disasters who lack banking access. He noted that many micro-entrepreneurs have been unable to optimally resume operations post-disaster, requiring capital support to regain growth. ‘This assistance is for microenterprise development among those without banking access. The target is around 200,000 micro-entrepreneurs over two years,’ Maman said. Through the microenterprise development programme, the government aims for affected communities not only to recover infrastructure and housing but also to independently and sustainably resume economic activities. The initiative forms part of a post-disaster recovery strategy integrating physical rebuilding with community economic strengthening to enhance resilience against future challenges.