MSME Ministry Seeks Additional Rp1.5 Trillion to Strengthen Programmes in 2027
Jakarta (ANTARA) - The Ministry of Micro, Small, and Medium Enterprises (MSMEs) is proposing an additional budget of Rp1.5 trillion in 2027 to strengthen various priority and strategic programmes aimed at driving the growth and development of national MSMEs.
MSME Minister Maman Abdurrahman, during a meeting with House of Representatives Commission VII in Jakarta on Thursday, stated the supplementary budget proposal was submitted because the need to reinforce MSME empowerment programmes is considered increasingly urgent in 2027.
“For the 2026 budgeting, our ministry is not proposing any additional budget at all. However, considering there are many needs to encourage the growth of MSMEs, we see sufficient urgency to push for an additional budget proposal in 2027,” Maman said.
Based on the indicative ceiling set by the Ministry of Finance, the MSME Ministry has been allocated a budget of Rp459.13 billion in 2027.
According to Maman, the proposed Rp1.5 trillion additional budget consists of two main components: Rp622 billion for an economic rehabilitation programme for MSMEs affected by disasters in Sumatra, and approximately Rp900 billion to support the government’s priority and strategic programmes.
The economic rehabilitation budget will be used for presidential assistance (banpres) for micro business operators affected by disasters. The government is targeting 200,000 MSMEs in three disaster-affected provinces in Sumatra to receive assistance of Rp3 million per business operator.
Meanwhile, Maman stated the additional budget for priority and strategic programmes will be allocated to various work units, including the Deputy for Micro Enterprises amounting to Rp223 billion, the Deputy for Small Enterprises Rp110 billion, the Deputy for Medium Enterprises Rp92 billion, the Deputy for Entrepreneurship Rp136 billion, the Ministry Secretariat Rp185 billion, and deconcentration funds of Rp151 billion.
Through this additional budget, the MSME Ministry is targeting a number of priority programmes, including the issuance of Business Identification Numbers (NIB), product standardisation and certification for 112,000 MSMEs, capacity building for 25,000 micro enterprises, financing assistance for 45,000 micro enterprises, and coaching through Integrated Business Service Centres (PLUT) for 10,000 business actors.
Moreover, Maman considers strengthening incubator institutions as one of the key strategies to expand the reach of MSME coaching in the regions.
“That is why we are starting to activate and strengthen the position of incubator institutions in the country. Each incubator institution will be tasked with managing approximately 500 to 1,000 empowerment and upgrading efforts for micro, small, and medium enterprises in their respective regional zones,” he said.
If the additional budget proposal is approved, the total budget ceiling for the MSME Ministry in 2027 will increase to approximately Rp1.98 trillion, up from the initial indicative ceiling of Rp459.13 billion.