Publication Type:
Publisher:
ERIA (Economic Research Institute for ASEAN and East Asia)
This paper discusses Indonesia’s MSMEs during the COVID-19 pandemic and the digital transformation they pursue.
The coronavirus disease (COVID-19) pandemic has hit micro, small, and medium-sized enterprises (MSMEs) hard. The estimated economic impact of COVID-19 could exceed the fiscal stimulus package as a percentage of gross domestic product (GDP).
Digital technologies have helped them to better navigate the situation. Yet only 13% of MSMEs adopt the internet for marketing and delivering their products and services.
This paper discusses Indonesia’s MSMEs during the COVID-19 pandemic and the digital transformation they pursue. It will also discuss policy responses and government support to help MSMEs navigate the crisis.
Contents
- Background
- The Landscape of MSMEs in Indonesia
- Policy Framework
- Digital Technology Adoption among MSMEs in Indonesia
- The Recovery Path for MSMEs
- Government Support through Fiscal Stimulus
- Policy Recommendations and Key Takeaways
Published March 2022.