The Ministry of Trade and the Ministry of State-Owned Enterprises (BUMN) of the Republic of Indonesia have signed a Memorandum of Understanding (MoU) to develop and empower export-ready micro, small and medium enterprises (UMKM). The scope of cooperation agreed in the MoU includes strengthening domestic supply chains, improving human resource capabilities, increasing support for financing schemes, and other activities. This MoU is a strategic step by the Ministry of Trade and the Ministry of BUMN to encourage national economic growth through UMKM, improve the competitiveness of Indonesian products, and expand domestic and global market access.
MSMEs are vital to the economy, contributing 61% of the GDP, and creating jobs. The Ministry of Trade is working to enhance UMKM's competitiveness through initiatives like export product development, capacity building, and market expansion. This includes export training, design clinics, trade promotions, and business matching. These efforts aim to boost UMKM's contribution to meeting the national export growth target of 7.1% by 2025. The Ministry of BUMN has been supporting UMKM, including financing the PaDi (Digital Market) UMKM platform, which has 55.000 UMKM. In over five years it has seen total transactions worth IDR 58 trillion. The Ministry of Trade has established the UMKM BISA Export programme to facilitate business matching and access to global market promotion and developed the digital platform InaExport.id to expand market access and enhance the effectiveness of MSME product promotion. The Ministry of Trade and the Ministry of BUMN are working together to use digital platforms more effectively. This will make MSME products more competitive and expand the export market.
