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Minister distributes NIB to 550 small business players in North Sumatra

When I took office (as Minister of Investment), the president (Joko Widodo) asked me to handle not only large investments but also small ones.

Jakarta (ANTARA)-Investment Minister Bahlil Lahadalia will give Business Identification Numbers (NIBs) to 550 small and small business (MSE) players in Medan, Binjai, and the Deriseldan district of North Sumatra on Thursday. I distributed it.

“When I took office (as Minister of Investment), the president (Joko Widodo) asked me to handle not only large investments but also small ones,” he said Thursday in Medan. Said at the NIB distribution event.

Throughout Indonesia’s history, small and medium-sized enterprises (MSMEs) have always encouraged the development of the national economy during crises such as the 1998 financial crisis. He said.

In fact, SMEs account for up to 61% of gross domestic product (GDP) and absorb a significant number of domestic workers, he added.

However, he pointed out that only 50% of Indonesia’s 64 million MSMEs are formal business units and the rest do not have business licenses.

Therefore, he said, the utilization rate of bank credit by SMEs is less than 20 percent, as banks do not provide credit to any company without a license.

related news: Ministry of Investment distributing NIB to individual MSEs in Medan

Therefore, the government continues to encourage MSME players to obtain licenses through a risk-based online single submission (OSS) system so that they can raise funds from banks.

The minister said he hopes that the permit will allow SME stakeholders to take advantage of SME credit (KUR). In 2022, the amount of KUR paid reached IDR 373 trillion (US $ 24.77 billion).

“This attempt aims to make our MSME the foundation of the national economy,” he said.

According to Ministry of Investment data, at least 1,552,994 NIBs have been successfully issued through the OSS system as of July 20, 2022, at 9 am West Indonesia Standard Time (WIB, UTC + 7).

About 98% of all NIBs are provided to SMEs and the rest are issued to SMEs.

In addition, of the total number of NIBs issued, 48,752 were issued to business players in North Sumatra.

Previously, the ministry held NIB delivery events in Jakarta and the city of Surakarta (Central Java). This activity will take place in 17 other cities / districts in Indonesia.

related news: Jokowi aims to issue 100,000 NIB daily for MSME
related news: MSME needs to use online marketplace to increase sales: Widodo

https://en.antaranews.com/news/240609/minister-distributes-nibs-to-550-sme-players-in-north-sumatra Minister distributes NIB to 550 small business players in North Sumatra

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