Minister Maman Abdurrahman Issues Regulation Mandating 50% E-Commerce Fee Discount for MSMEs

The Ministry of Micro, Small, and Medium Enterprises (MSMEs) has issued Ministerial Regulation No. 3/2026, which obliges marketplaces to provide a minimum 50% discount on service fees for verified MSMEs that exclusively sell local products. Minister of MSMEs Maman Abdurrahman stated that this policy is intended to create a fair business climate for MSMEs, logistics companies, and e-commerce platforms alike. The move is also an effort to protect and enhance the competitiveness of local MSMEs. Despite facing criticism, the Minister has been actively socialising the service fee regulation for micro and small business actors. Currently, the average service fees charged by e-commerce platforms to MSMEs range from 18% to 21%, largely related to promotional costs. The government expects a 50% discount on these fees, provided that the MSMEs receiving the incentive are integrated into the MSME service ecosystem, namely the SAPA UMKM application. Minister Maman also highlighted efforts to advance the MSME sector in Indonesia. The Ministry is scrutinising data which suggests there are 57 million MSME actors, comprising 1 million small enterprises, 500,000 to 600,000 medium enterprises, and the rest being micro-enterprises. However, as definitive data is still lacking, the Ministry, together with the National Development Planning Agency (Bappenas), has launched the SAPA UMKM application. This platform will register MSMEs while providing various services related to financing, training, and payment systems. Strengthening the MSME data system is expected to map the condition of MSMEs accurately, allowing the application to be used to ensure that MSME subsidy programmes are better targeted.