Indonesian Political, Business & Finance News

Strengthening Digital Ecosystem and Partnerships Key to Expanding Market Access

| | Source: REPUBLIKA Translated from Indonesian | Business
Strengthening Digital Ecosystem and Partnerships Key to Expanding Market Access
Image: REPUBLIKA

Deputy Minister for MSMEs, Bagus Rachman, emphasised the importance of strengthening the digital ecosystem and business partnerships as a strategy to accelerate MSMEs’ growth. Speaking at the Tribun Bali Award event in Denpasar, Bali, on Friday (29 May 2026), he noted that MSMEs contribute significantly to the national economy. However, current challenges include enhancing added value, creativity, productivity, and connectivity to enable growth and competitiveness in broader markets.

“97% of Indonesia’s MSMEs remain at the micro level. Therefore, the priority is to encourage MSME entrepreneurs to scale up through collaboration and strengthening the business ecosystem,” said Bagus.

He praised various digital initiatives and local platforms that bolster MSME product marketing while creating opportunities for domestic products to enter larger supply chains. He stated that synergy between government, communities, digital platforms, the business sector, and local authorities is crucial for expanding market access for MSME entrepreneurs.

Bagus explained that market opportunities for MSMEs are substantial, including government procurement of goods and services worth approximately Rp1.1 trillion, with a minimum allocation of 40% for MSME products. Additionally, the PaDi UMKM platform, developed by state-owned enterprises (SOEs), aims to expand market access for MSMEs across regions.

“The government’s procurement potential amounts to Rp1.1 trillion, with 40% allocated for MSME products. There is also the BUMN-owned PaDi UMKM platform available. Therefore, local governments must encourage MSME entrepreneurs in their regions to capitalise on available market opportunities,” Bagus said.

During the event, Bagus also introduced the SAPA UMKM platform, currently being developed by the Ministry of MSMEs as an integrated super-app service for MSME entrepreneurs. The platform is designed to simplify access to integrated business services, including business licensing, certification, financing, and business mentoring and development.

“Through SAPA UMKM, MSME entrepreneurs’ various needs will be connected through a single portal, from business registration (NIB), OSS, halal certification, to financing and export access,” he said.

Alongside strengthening digitalisation, the Ministry of MSMEs is also developing cluster-based business partnership ecosystems that connect micro, small, and medium enterprises with larger businesses through MSME holding schemes. Bagus said this approach aims to create market aggregation, improve product standardisation, and enhance financing and marketing access for MSME entrepreneurs across sectors.

“This scheme is expected to strengthen MSME competitiveness through integrated and sustainable business development,” he added.

Bagus stressed that the Ministry of MSMEs will continue to act as a collaborator and integrator linking small-scale producers with broader markets. This is part of efforts to strengthen the national economic foundation and support the realisation of Indonesia’s Golden Vision 2045.

“MSMEs must connect with larger ecosystems to grow sustainably and become a vital part of national economic development,” Bagus said.

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