Antara News·Indonesia·Wednesday, September 23, 2026 at 02:30 PM

Ministry boosts medium firms to link small businesses to supply chains

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Imamatul Silfia, Raka Adji

Jakarta (ANTARA) - Indonesia's Ministry of Micro, Small, and Medium Enterprises (MSMEs) is pushing to strengthen the role of medium-sized enterprises as a bridge connecting micro and small businesses to industrial supply chains, financing, and broader markets.

Deputy for Medium Enterprises at the ministry, Bagus Rachman, at ANTARA Business Forum event here in Jakarta on Wednesday, underscored that medium-sized enterprises have a strategic role in connecting micro and small enterprises with larger corporations.

He noted the approach is part of the government’s efforts to help MSMEs sustainably scale up.

Scaling up MSMEs requires more than just a single initiative, he added. The government needs to build an integrated ecosystem spanning business legality, capacity building, certification, financing, partnerships, and marketing.

One of the schemes being developed is the MSME Holding programme. Designed as a cluster-based business partnership ecosystem, it positions medium-sized enterprises as the connectors that link micro and small businesses to broader supply chains.

"Medium-sized enterprises serve as the anchor, connecting micro and small enterprises to the supply chains," he said.

A cluster-based approach is needed to ensure MSMEs do not operate in isolation. Through the scheme, he said, business owners can connect with aggregators, incubators, marketing networks, and tailored financing options to support their growth.

Beyond partnerships, access to financing remains a critical factor in scaling up businesses.

For medium-sized enterprises, the government is expanding funding opportunities through the capital market.

This is being realised through the "Rise to IPO" programme, carried out in collaboration with the Indonesia Stock Exchange, to help medium-sized businesses secure funding through initial public offerings.

As for marketing, the ministry is streamlining services to help entrepreneurs tap into both domestic and export markets.

Bagus Rachman specifically highlighted a collaboration with the Trade Ministry that integrates export services into the MSME support ecosystem by leveraging the InaExport platform as Indonesia's National Export Gateway.

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