The Cooperatives and Small and Medium Enterprises (SMEs) Ministry has helped boost GDP through cooperatives and increased entrepreneurship.
Based on data released by the ministry and Central Statistics Agency (BPS), the contribution from cooperatives to the national GDP rose to 3.99 percentin 2016. Meanwhile, the ratio of entrepreneurship at the national level, which in 2014 had stood at 1.65 percent, has now reached3.01 percent.
Cooperatives and SME MinisterAAGN Puspayoga said the rise was supported by the development of land, air and maritime infrastructure, which had a positive impact on the distribution of goods.
“If the distribution of goods goes smoothly, so do the transactions. ?The effect is that businesspeople can produce goods of better quality,” said Puspayoga in the FMB9 gatering which carried the theme “Jokowi-JK: Three Years’ Performance” held at the Office of the Presidential Staff on Oct. 17.
He added that the improving tourist sector had also been a factor in the growth of cooperatives and SMEs.
The ministry, he said, was consistent in reforming cooperatives. This reform is in three stages: reorientation, rehabilitation and development.
“Today’s orientation is the quality of the cooperatives. Cooperatives must be of good quality; we don’t focus on the number or the quantity,” he said.
He also said at least 40,000 cooperatives had closed in the rehabilitation stage. Based on the online database system (ODS), there are still 153,000 cooperatives operating.
“Some 80,000 cooperatives are healthy, and there are about 75,000 that need supervision so that they become healthy. We are going to cooperate with the heads of the regions so that by 2019, all cooperatives are healthy,” Puspayoga said.
In terms of development, the ministry has accelerated the access to financing for cooperatives and micro-enterprises via ultra microcredit(KUMi) channeled through the cooperatives.
“For ultra microcredit, we are working with the Finance Ministry to cover People’s Enterprise Credit,” he said.
*This article was previously published on kompas.com with the title “UKM dan Koperasi Dongkrak PDB Nasional”