ILO supports MSME financing and digitalisation in Indonesia
ILO Supports MSME Financing and Digitalization in Indonesia
14 Okt 2026 17:55 WIB
Voice of Indonesia
Key Points
ILO channels IDR 584.3 billion in financing and savings access to 25,378 MSMEs.
Digital transformation and stronger financial inclusion aim to boost MSME productivity and job creation.
RRI.CO.ID, Jakarta – The International Labor Organization (ILO) considers the development of micro, small, and medium-sized enterprises (MSMEs) crucial to expanding employment opportunities in Indonesia. This aligns with the structure of the national economy, which is dominated by MSMEs, although the sector still faces various challenges.
“One of the challenges facing MSMEs is access to finance, in addition to access to markets, skills, and digitalization,” said Djauhari Sitorus, Project Manager of the ILO’s Promise to Impact (Promise II Impact) program, during a press conference in Central Jakarta on Tuesday, October 13, 2026.
Djauhari explained that the ILO’s presence in Indonesia aims to support job creation and sustainable economic growth. These efforts are carried out through various programs that strengthen business capacity and expand access to finance for SME operators.
In terms of financing, the ILO supports the government in improving the financial health and financial inclusion of SME operators. This support also targets commodity supply chains in several regions through the Promise II Impact program.
The program has entered its second phase and will soon proceed to the third phase. Its implementation focuses on expanding access to formal financing, enhancing entrepreneurial capacity, and strengthening digital financial services.
“This project has provided a total of IDR 584.3 billion (approximately USD 32.66 million) in formal financing and savings access to 25,378 MSMEs and trained more than 2,300 entrepreneurs, over 40 percent of whom are women,” said Djauhari.
In addition, the Promise II Impact program has supported the digital transformation of six Rural Banks (BPR). This initiative has the potential to impact more than 300,000 MSMEs positively.
Meanwhile, a member of the Board of Commissioners of the Financial Services Authority (OJK), Dicky Kartikoyono, said that expanding financial access and strengthening MSME capacity are crucial to improving the quality of financial inclusion. He noted that financial inclusion must provide tangible benefits to the public, not merely expand access to financial services.
“Therefore, financial access can further boost the productivity of MSMEs, including the financial resilience of workers and the well-being of the community,” said Dicky. (Gusti Panji)
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