Indonesian minister calls for wider MSME lending outside Java
The government is developing its Sapa UMKM platform to link business support services and strengthening assistance for women micro-entrepreneurs.
Indonesia’s MSME Minister Maman Abdurrahman called for broader credit access outside Java on October 29, saying businesses across the country should have equal opportunities to obtain financing and development assistance.
Speaking in Badung, Bali, he said support policies needed to reflect Indonesia’s geographical size and regional differences. The government wants businesses in different regions to have equal chances to strengthen their capabilities, he said.
The ministry is continuing to develop Sapa UMKM, a digital platform that Abdurrahman said had already been launched. It is intended to connect services covering business improvement, legal requirements, certification, digitalisation, financing and access to markets.
He said businesses require different forms of support depending on their circumstances, management capabilities and locally available facilities.
The government is also seeking to strengthen support for women micro-entrepreneurs through the Laksmi programme and a top entrepreneur exchange. Laksmi aims to build entrepreneurial skills and connect participants with potential financing and business partners.
Abdurrahman said lending alone was insufficient: businesses also needed guidance to use funds productively and sustain their growth. He called for cooperation between central and regional governments and financial institutions to deliver support suited to businesses’ needs.
