VOI - Voice of Indonesia | RRI - Radio Republik Indonesia

The Ministry of Finance makes efforts to encourage MSMEs. This is done so that MSMEs continue to grow and are export-oriented.

"The government is making efforts to support MSMEs. The Ministry of Finance itself has provided support through tax incentives, assistance, and allocation of funds to develop MSMEs," said Finance Minister Sri Mulyani at The 1st International Conference on Women and Sharia Community Empowerment, Thursday (11/8/2022).

She detailed what the state had given to support MSMEs. First, through tax incentives.

Sri Mulyani has provided tax incentives in the form of a final income tax rate (PPh) of zero percent. That's for MSMEs with a turnover of under Rp 500 million in a year.

If the turnover exceeds this figure, the Final PPh rate is only 0.5 percent. That's from the nominal annual turnover minus IDR 500 million.

The Directorate General of Taxes and the Directorate General of Customs and Excise also have a business center for the empowerment of MSMEs. This is intended to provide literacy and understanding in managing company finances.

In addition, the business center also provides export-oriented MSMEs. The government has also budgeted for transfers to the regions.

One of them is procurement or the process of procuring and purchasing goods and services from MSMEs. The system is simplified because it is platform-based, so MSMEs do not need to have physical interaction.

"So it's not only the Ministry of Finance and the Ministry of Cooperatives and MSMEs. Our ministries/institutions provide a budget to help MSMEs," she said. (RRI)