APPSI Seminar, Governor Anies Looks Forward to Inter-Regional Cooperation and Empowerment of MSMEs

Jakarta Governor Anies Baswedan attended and opened a national seminar initiated by the All-Indonesian Provincial Government Association (APPSI) at City Hall, Central Jakarta, on Tuesday (10/4).

One of these programs is to create job opportunities

The seminar carried the theme "Inter-Regional Cooperation in Improving the Competitiveness and Empowerment of MSMEs", which aims to obtain an overview of the model of partnership cooperation with MSMEs that has been carried out by the Regional Government; and formulate a strategy of cooperation to increase regional competitiveness.

As APPSI Chairman, the Governor explained that the theme was taken following a common understanding that the administration of regional government was always interpreted in a bid to improve the welfare of the community. This condition makes the local government carry the task of always carrying out programs and actions that will advance the region and its people.

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"One of these programs is to create job opportunities that will become a decent source of income for the community. Hope we can all exchange ideas, experiences, get new perspectives, and become a forum for building inter-regional cooperation in strengthening food competitiveness and independence while making MSMEs more empowered," he expressed, as quoted by Jakarta PPID's press release.

Based on the data of the Cooperative and SME Ministry, the number of MSMEs last year touched 64.19 million with a contribution to the Gross Domestic Product (GDP) at 61.97 percent or Rp 8,573 trillion. Moreover, they were capable of absorbing 97 percent of the total workforce in Indonesia in 2020 and could collect up to 60.4 percent of the total investment.

Aside that, the high number of MSMEs in Indonesia is faced with various challenges and conditions after the Covid-19 pandemic that has accelerated transformation in all aspects of life. Based on the Capital Investment Coordinating Board (BKPM), the pandemic has hit them hard and has had an impact on their contribution to Indonesia's GDP decline. This decline was caused by several reasons:

a. Changes in people's consumption patterns of goods and services during the pandemic from offline to online

b. MSMEs are experiencing problems with skilled workers

c. Barriers to product distribution and difficulties in the production of raw materials

According to him, this condition needs to be a common concern, including in the regional scope. The increasing capacity of MSMEs helped boost regional competitiveness and play a role as a provider of local food sources, thereby reducing the level of dependence on imports.

"Seeing this matter, a region will have competitiveness and will ultimately support the acceleration of economic growth and development that is balanced, fair, and sustainable. Let's discuss and exchange opinions comprehensively regarding inter-regional cooperation in strengthening competitiveness and empowering MSMEs to find a common understanding and strong determination to improve people's lives and welfare," he concluded.

As for the information, the seminar was also attended by Jakarta Vice Governor, Ahmad Riza Patria together with Jakarta Forkopimda; APPSI Expert, Prof. Muchlis Hamdi; Government Regional Secretary Assistant; Cooperative and SME Agency Head, Elizabeth Ratu Rante Allo; and Bureau Head in charge of Government/Regional Cooperation/Regional Autonomy throughout Indonesia.