COVID-19: Indonesia to Increase Support to SMEs under its Business Assistance Programme

The Government of Indonesia announced plans to expand its on-going business assistance programme to include around 3 million more micro small and medium enterprises (MSMEs) impacted by COVID-19. According to the Cooperatives and SME Minister, Teten Masduki, given the strong interest amongst the MSME sector (which forms the backbone of the country, accounting for over 60% of gross domestic product), the Government is now confident of assisting up to 15 million MSMEs by mid-December 2020, up from its initial target of 12 million.

Masduki stated that budget allocations for the expanded programme will now increase to IDR 36 trillion, compared to previous target of IDR 22 trillion, with the additional funds required being sou...