PRR Task Force Strengthens SMEs to Restore Economic Foundations in Affected Regions
Activities of micro, small, and medium enterprises (SMEs) in disaster-affected areas of Aceh Province, North Sumatra, and West Sumatra continue to show a recovery trend. The Task Force for Accelerating Rehabilitation and Reconstruction (PRR Task Force) notes that most community business sectors, such as stalls, shops, restaurants, and cafes, have resumed operations.
Based on PRR Task Force data, SME recovery in West Sumatra has reached 100 per cent. Meanwhile, in Aceh and North Sumatra, it stands at 94.44 per cent each, with 17 regencies/cities where economic activities have returned to normal.
Two regions still require special attention: Central Aceh Regency and Central Tapanuli Regency. In Central Aceh, at least 13 business units such as restaurants, stalls, cafes, and shops remain heavily damaged, scattered across several villages, including in Linge and Kebayakan sub-districts.
Five hotel and accommodation units in the same area have also suffered damage, meaning economic activities in several locations have not fully recovered. In Central Tapanuli, the disaster’s impact is broader, affecting around 2,059 business units across 14 sub-districts.
Damage from floods and landslides in Central Tapanuli has not only impacted business buildings but also hindered goods distribution and community trade activities. This situation makes the region a top priority for PRR Task Force interventions.
Head of the PRR Task Force, Muhammad Tito Karnavian, emphasised that SME recovery is one of the main indicators of the revival of affected regional economies.
“SME stalls/shops are also important as economic indicators; the economy must function because growth in affected areas has declined across the board,” he stated in a written remark on Saturday (18/4).
To accelerate recovery, the government is not only encouraging the reopening of businesses but also providing direct support to affected SME actors. Assistance includes production tools for the food and beverage sector, business raw materials, and cooking oil packages for daily operations.
Business actors are also receiving new clothing as part of small-scale trade recovery, as well as songket thread to support the continuity of local craft businesses. The government is providing temporary business tents for SME actors whose premises are damaged.
Borehole facilities are also being prepared to ensure the availability of clean water as a basic need for production and business service activities. All this support is designed to enable SME actors to conduct production and service activities optimally amid the recovery process.
On the financing side, the government is strengthening support through the People’s Business Credit (KUR) programme, based on Ministerial Coordinating for the Economy Regulation Number 2 of 2026 on Guidelines for Post-Disaster KUR Implementation. This regulation applies to the provinces of Aceh, North Sumatra, and West Sumatra.
Tito added that cross-ministerial collaboration is key to economic recovery in disaster-affected locations.
“Then inflation rose relatively recently, but now it’s improving. In Aceh, 94 per cent of SMEs are being addressed by the Minister of SMEs, together with the Minister of Trade and the Minister of Tourism and Creative Economy,” he concluded.
Through these policies, the government is providing relief in the form of payment deferrals, credit restructuring, and additional financing ceilings. Access to new KUR is also being facilitated to encourage SME actors to bounce back.
For information, as of 18 April 2026, 193,703 affected KUR debtors have been recorded in the three provinces, with total outstanding loans reaching Rp11.22 trillion. This programme is one of the important instruments in maintaining community business continuity during the recovery period.