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Friday, 11 November 2022 09:39

G20 Summit Is Expected To Raise MSME Opportunities

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The G20 Summit (Summit) is expected to develop digital transformation, thereby opening up business opportunities amidst the threat of a global crisis. The digital transformation of Indonesia's Micro, Small and Medium Enterprises (MSME) sector was able to record significant digital growth.

"Digital transformation can bring resilience and bring opportunities when there is an economic contraction with social restrictions. Digital transformation is a solution for survival," said Alternate Chair Digital Economy Working Group (DEWG) Dedy Permadi in a virtual #G20Updates, Thursday (10/11). /2022).

DEWG is a digital economy working group that discusses the digital economy, and digital transformation among G20 countries. Digital transformation is one of the three main issues that Indonesia raised at the G20 Summit.

According to Dedy, the number of MSMEs in Indonesia is around 64 million which contributes about 60 percent of Indonesia's GDP. During the Covid-19 pandemic, many MSMEs experienced adversity but quickly switched and adapted to the digital world.

Before the Covid-19 pandemic, there were 9 million MSMEs digitally onboard. This number increased after the pandemic to 19 million MSMEs.

"The growth rate is quite large," he said. "This shows that some of our MSMEs have been able to take advantage of the potential of digital transformation to survive in the midst of a pandemic."

This Special Staff of the Minister of Communication and Information said that Indonesia still needs to continue to struggle. Because, there are still many MSMEs that have not been digitally onboarded.

If you look at the number 19 million from a total of 64 million MSMEs, then only 29 percent of MSMEs are digitally onboard. Concretely, Indonesia needs to work on around 71 percent of other MSMEs to be able to take advantage of opportunities in the digital space.

For this reason, Indonesia needs to discuss and find solutions at the G20 forum. This is to increase the number of digitizing the world of MSMEs.

"Their task is how to encourage MSMEs to survive and even scale up, expand their business in terms of quality and quantity," he said. "After doing the scale-up, then he can take action to go international."

At the G20 forum, three issues related to the transformation of the digital world were discussed. These are connectivity and post-pandemic recovery, digital skill literacy, and reliable cross-border data flows.

He explained that one of the highlights of the discussion on the digital transformation issue was the business sector. Indonesia will facilitate industries to meet each other, and make concrete investment commitments in the business sector of the digital world. (RRI)

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