The government is working to boost Indonesia’s creative industries by supporting both promotion and financial facilitation to improve the sector’s contribution to the national economy, a minister says.
Trade Minister Mari Elka Pangestu said Monday the government would help small and medium enterprises (SMEs) of the creative industry by supporting the promotion of, expanding market access for and promoting improvements in the quality of creative products. The government would also facilitate creative industries’ access to financing through partnerships with financial institutions, she said.
“We are committed to further develop the creative industries as part of our efforts to improve the national economy,” Mari told a press conference after the launching of the “Indonesia is Creative” handicraft stand at Soekarno-Hatta International Airport, offering various high quality locally produced handicrafts.
She said the opening of the stall was also a part of efforts to promote awareness of local creative products and services for the strengthening of Indonesia’s international identity.
The stand, showcasing Indonesian creative products including high quality handicrafts, foods and spas, occupies a 92-square-meter area at the airport’s Terminal II.
The stand was established by the Trade Ministry in collaboration with PT Bank Negara Indonesia (BNI), airport operator PT Angkasa Pura II and handicraft distributor PT Alun Alun Indonesia Kreasi.
According to the Trade Ministry, between 2002 and 2008 the creative industries contributed an average of Rp 139.8 trillion (US$15.52 billion) or 7.8 percent to Indonesia’s gross domestic product.
During this period the handicrafts industry, one of the 14 sub-sectors in the creative industries sector, on average contributed around one quarter to the creative industries’ total output, thanks to entrepreneurs’ strong efforts to increase their businesses.
Aside from promotion, Mari said, the government would also facilitate the financing of the creative industries by subsidizing loans for entrepreneurs in small businesses, through partnership with financial institutions.
She said the Indonesia is Creative stand, which was opened two months ago, booked daily sales of between Rp 7 million and Rp 10 million.
“It has exceeded our expectations,” she said, adding that the ministry was targeting for the number of customers at the stall (currently around 100 per day) to double by the end of the year.
BNI vice president director Felia Salim said over the last two years BNI had channeled more than Rp 80 billion in loans to five of the creative industries’ largest 14 sub-sectors — handicraft, fashion, computers and their appliances, film, video and photography, as well as design — with entrepreneurs receiving around Rp 50 million to Rp 100 million each.
Meanwhile, the State-Owned Enterprises Minister Mustafa Abubakar said his ministry had asked five state-owned banks to distribute funds worth Rp 15.5 trillion in total — Rp 3 trillion from Bank Mandiri, Rp 3 trillion from BNI, Rp 8 trillion from BRI, Rp 750 billion from Bukopin and Rp 750 billion from BTN — to small and medium enterprises including those in the creative industries.
