Indonesia MSMEs face high local fees and pending e-commerce discounts

Micro, small, and medium enterprises (MSMEs) in Indonesia are facing varying economic pressures. In Ternate, North Maluku, street food vendors at Coffee Street, Ngara Lamo Field, have reported high monthly operational costs. Approximately 90 vendors face combined fees including management dues, electricity, storage, and local levies, totaling roughly Rp 1.045 million per month per stall. Vendors expressed concern that these fixed costs, coupled with increased competition, are straining cash flow and the ability to pay employees.

On a national level, the Ministry of MSMEs is nearing the implementation of a policy to provide a 50% discount on e-commerce service fees for micro and small businesses that produce domestic products. Minister Maman Abdurrahman stated that technical integration with the SAPA UMKM system is approximately 95% complete. This integration aims to allow the government to monitor the growth of digital MSMEs and provide targeted incentives in the future.