Enabling Market Access Through Improved Productivity and Innovative Financing for SMEs
17 May 2022
Small and medium enterprises (SMEs) often see upscaling as the biggest challenge. Here is how UNIDO and partners advance SME competitiveness and the SDGs.
In traditional and originative industries, Small and Medium Enterprises face number of challenges that impede their upscaling potential, including limited access to infrastructure and know-how, design and product development skills, and also application of innovative financing instruments, such as SDG-linked loans.
To enable a wider access to market through improved productivity and innovative financing for SMEs in Indonesia, UNIDO, in cooperation with the Ministry of Cooperatives and SMEs of Republic of Indonesia, announced the beginning of SMEs technical assistance project in Lombok Island, West Nusa Tenggara.
The technical assistance for SMEs project in Lombok, which is implemented in the framework of UN Joint Programme in cooperation with UNDP, UNEP, UNICEF, and funded by the SDG Fund, was officially launched by the Governor of West Nusa Tenggara on 21 February 2022. The project’s application forms are currently in assessment process for selecting the targeted beneficiaries. One of the steps taken by UNIDO to ensure the project is well implemented and monitored was that the UN agency established a field office at New Premium PLUT (Integrated Enterprise Service Centre) Building in Mataram, Lombok, which was initiated end of January 2022 prior to the launching of the project.
The cooperation between UNIDO and the Ministry of Cooperatives and SMEs also reached out to the innovative financing aspect for SMEs in Indonesia. The two institutions jointly organised a digital financial literacy training in Lombok Island, West Nusa Tenggara on 17 March 2022. The training was officially launched by high-level government officials and attended by 30 selected SMEs.
Additionally, UNIDO also provided assistance in the curation process, led by the Ministry of Cooperatives and SMEs, the national counterpart of the UN Joint Program “ASSIST”, in selecting 55 SMEs from food, originative handicraft, and textile sectors to be showcased during the MotoGP event in Mandalika circuit in March 2022.