Innovative financing mechanisms for SMEs in Indonesia

On 21 February 2022, UNIDO officially launched its small and medium enterprises (SMEs) Technical Assistance Component as part of the UN Joint Programme Accelerating Sustainable Development Goals (SDGs) Investment in Indonesia  - ASSIST  funded by the UN Joint SDG Fund. The launching event took place online with participation of Esam Alqararah, UNIDO Representative in Indonesia, and high-level government officials, including Luhur Pradjarto, Senior Advisor on Inter-Agency Relations from the Ministry of Cooperatives and SMEs of Indonesia, and H. Wirajaya Kusuma, the Governor’s Advisor on Social and Society Affairs of West Nusa Tenggara. To kick off the SMEs Technical Assistance Component, the project initiated beneficiary selection phase, making an online application available for SMEs active in local traditional and originative industries. Collected data will serve as a basis to select a pilot group of beneficiary enterprises among those complying with the eligibility criteria defined by the project.

The project aims to strengthen SMEs active in originative and traditional industries on Lombok island, West Nusa Tenggara, by developing needs-driven upgrading plans for improved competitiveness and wider access to local and international markets. The project, while facilitating comprehensive industrial modernization, will help improve financial situation of beneficiary SMEs in agri-food, fishery, handicraft and textile sectors, as well as their productive performance, product design, marketing and branding strategies. This will lay the foundation for reinforcing linkages with the tourism sector and unlock opportunities to access credible and innovative finance mechanisms, such as SDGs-linked loans.

Watch the project promotional video here.

For more information contact Farrukh Alimdjanov (f.alimdjanov [at] unido.org (F).Alimdjanov [at] unido.org)