MSME Ministry Targets 3.6% Entrepreneurship Ratio by 2029

The Ministry of Micro, Small, and Medium Enterprises (UMKM) is striving to increase the national entrepreneurship ratio to 3.6 per cent by 2029 through strengthening the entrepreneurial ecosystem, including collaboration with universities to produce more young entrepreneurs. Deputy for Entrepreneurship at the UMKM Ministry, Riza Damanik, stated in a press release in Jakarta on Monday that the ecosystem strengthening is being carried out through the implementation of Presidential Regulation Number 38 of 2026 concerning National Entrepreneurship Development. The regulation serves as a guideline for building an entrepreneurial ecosystem through collaboration between ministries and agencies, regional governments, universities, the business sector, communities, and various other stakeholders. “This major policy is directed at accelerating the increase in the national entrepreneurship ratio to 3.6 per cent by 2029 and achieving an optimistic target of 8 per cent by 2045,” Riza said during the Wirausaha Muda Mahasiswa (Wibawa) Grow Day 2026 event at Sebelas Maret University (UNS) Surakarta, Central Java, on Saturday (18/7). According to him, entrepreneurship development cannot be carried out solely by the government but requires synergy from various parties, including universities as the birthplace of young entrepreneurs. “Universities are not enough just to produce graduates who are ready to work. Campuses must also be the birthplace of innovators, entrepreneurs, and job creators,” he said. He added that not all graduates need to become entrepreneurs, but every graduate needs to have an entrepreneurial mindset, such as being sensitive to problems, daring to take measured risks, able to present solutions, and creating value for society. To support this target, the UMKM Ministry is organising the PRO-KESRA Productive Collaborative Programme through Wibawa Grow Day 2026 to strengthen the capacity of young entrepreneurs to become productive, innovative, and competitive business actors. The ministry is also integrating entrepreneurial development with the SAPA UMKM platform, which is designed to reach around 57 million MSME players in Indonesia. Through this platform, business actors can access various services, ranging from financing, certification, and business licensing to training and business development information. Additionally, the government is strengthening the role of 754 business incubator institutions across various regions to assist prospective entrepreneurs, start-ups, and MSMEs in developing more innovative and competitive businesses. Riza expressed hope that the synergy between the government and universities through this programme can inspire other campuses in Indonesia to produce more resilient, innovative, and competitive young entrepreneurs who can become drivers of national economic growth.