Impact of the COVID-19 pandemic on MSMEs

Since the onset of the pandemic, large-scale social restrictions have had a direct impact on the economy and the livelihoods of more than 63 million MSMEs in Indonesia. This report is part two of a larger study on the impact of the pandemic on MSMEs in Indonesia.

Relaxations in the large-scale social restrictions (PSSB) in July and August have marginally revived the revenues for the MSME sector while easing the pressure on supply chains. Although the government announced support measures, the overall realization of these programs continues to be low due to issues around identification and targeting. In this report, we present the impact of the pandemic on MSMEs and provide policy recommendations to address the current situation.

Read the report for the first round here.


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