UNAIR NEWS – Coordinating Minister for Economic Affairs, Dr. (HC) Airlangga Hartarto, MBT., MBA., said that to maintain economic growth during the pandemic, the government has prepared various strategies such as restoring public trust by conducting vaccination and micro-scale limitation to community activities.
The statement was made by Coordinating Minister Airlangga Hartarto in the webinar ‘Strengthening Support for MSMEs and the Manpower Sector as Driving Force of Economic Growth in 2021’ which was initiated by the Faculty of Economics and Business, Universitas Airlangga (FEB UNAIR), Friday, March 12, 2021.
In the webinar, the Coordinating Minister said that the Covid-19 pandemic also had an impact on the Micro, Small and Medium Enterprises (MSMEs) sector which reach 64.2 million or 99 percent of businesses in Indonesia. In East Java itself, he continued, the MSME sector became the backbone of the economy in East Java and contributed about 56 percent of the GRDP (Gross Regional Domestic Product).
“Of course, the government has allocated a 184.83 trillion program for the MSMEs needs and corporate costs which are provided in the forms of 6 stimuli: the MSMEs interest subsidy, productive assistance for micro businesses, subsidy for guarantee fees, placement of funds at commercial banks in the form of tax incentives, as well as other supports, “he explained.
In addition to allocating funds for MSMEs, the government has also created community business credit program, such as by providing an extension of interest subsidies by three percent for six months, eliminating principal installments, relaxing tour policies, and specifically for housewives who were laid off (Termination of Employment), the government made a super micro credit scheme that will be implemented in 2021.
“Another support is the president’s assistance related to micro-business productivity for micro-entrepreneurs who are not currently getting loans from banks, which will be expanded in 2021,” he said.
The government, he continued, is also running a work program that is used by workers in MSME sector affected by the pandemic through various re-skilling and up-skilling training programs. There are currently 13 batches running with 53 million registrants and 16 million beneficiaries.
Dean of FEB UNAIR Prof. Dr. Dian Agustia, SE., M.Si., (left) gives a token of appreciation to the Coordinating Ministry for the Economic Affairs, represented by Dr. Ir. Mohammad Rudy Salahuddin, MEM as Coordinating Deputy for Digital Economy, Manpower and Micro, Small and Medium Enterprises on Friday, March 12, 2021. (Photo: Asthesia Dhea)
To improve the competitiveness of MSMEs during a pandemic, as many as 3.7 million MSMEs were on board to support national movement program to buy domestic products made in Indonesia, the government is working with some e-commerce platforms .
Airlangga said that the government also played an active role in fostering and registering MSMEs based on standard procedures and criteria so MSEs and cooperatives can become a formal institution.
The existence of Law No. 11 of 2020 concerning Job Creation, explained Airlangga, MSEs are supported to get halal certification and this obligation is based on the fact that MSEs comply with halal standards without being charged a fee. In addition, there are also various facilities related to the formation of a business entity, both in the form of a limited company (PT) or a cooperative.
“For this reason, it is necessary to collaborate with stakeholders including academics to ensure that all policies can be implemented properly so they can improve the competitiveness of MSMEs,” he concluded. (*)
Author: Asthesia Dhea Cantika
Editor : Binti Q. Masruroh
