Provincial Government of Central Java Republic of Indonesia Archives

Ganjar Pranowo driving Indonesian SMEs in Going Global

Ganjar Pranowo, the Governor of Central Java, Indonesia, is committed to driving the development of SMEs (Small and Medium Enterprises) in the region, to reach an international level. As of Q1 2023, SME export volume from Central Java had reached US$2.5 billion, resulting in a surplus of US$708 million for the province.

Central Java Governor Ganjar Pranowo is committed to the development of SMEs in the region, providing a learning platform ‘Hetero Space’ and funding ‘Kredit Usaha Rakyat (KUR-People Business Loan) Super Mikro.’ [Image: ANTARA]

During his two terms in office from 2013 to 2023, Ganjar facilitated the growth of SMEs through robust initiatives. One notable innovation was “Hetero Space,” a creative hub addressing the educational needs of SMEs, offering knowledge on aspects such as bookkeeping, packaging, branding, and even photography skills required for product promotion.

Currently, Central Java has 3 Hetero Spaces for the development of SMEs and as a platform for young people to showcase their creativity, located in Semarang, Solo, and Banyumas. Hetero Spaces in Central Java have involved thousands of members: 3,000 members who have joined, 13,000 Hetero Space visitors, 500 local communities, 300 programs, 1,000 events, 15,000 SMEs, 2,500 startups, 100 companies, and 250,000 people have all benefited.

“When they start learning about bookkeeping, packaging, branding, and even when they want to promote their products, they need to learn photography. That’s why we need a creative hub,” he mentioned during ‘Flexing Lokal’, held by Google Indonesia and YouTube.

After providing a learning platform for SMEs, Ganjar moved to the next level by offering access to funding – a common challenge faced by SMEs when planning to expand. He launched the “Kredit Usaha Rakyat (KUR-People Business Loan) Super Mikro,” providing access to capital with an interest rate of only 3% per year. Teaming up with Bank Jateng, this funding initiative assists SMEs in growing their businesses.

“Our task is to provide support. If the interest rate is at this level, it’s not feasible. So, we try to assist them by implementing some policies, such as reducing the interest rate,” Ganjar explained.

The decision to set the interest rate at 3% is the result of a lengthy process. Previously, the KUR interest rate was 12%, then 9%, and eventually, Central Java lowered it to 6%, surpassing the national KUR rate. Finally, Ganjar established the interest rate at only 3%.

These efforts led Central Java to become the largest distributor of KUR loans in Indonesia in 2022, with a loan distribution value of IDR 55.27 trillion (US$3.8 billion) in the previous year. “Thus, the role of the government is mainly to facilitate their growth,” Ganjar stated.

Thanks to Ganjar’s initiatives, SMEs in Central Java have now reached an international level. The best SME products, facilitated by Ganjar, have opportunities for export to Singapore, Japan, and even Europe. “For now, we’re running this, curating it, and those who qualify, who have a strong market both nationally and internationally, we assist,” Ganjar concluded.

Copyright (c) ANTARA 2023.

Governor Ganjar Pranowo releases Indonesian MSME product for export, valued at IDR7billion

Ganjar Pranowo, the Governor of Indonesia’s Central Java Province, launched the export of small to medium-sized enterprise (MSME) products from Central Java to countries in Asia, America and the Middle East. 4 containers of MSME product were released in Purwokerto, Central Java Province, while 3 containers were dispatched from Purbalingga and Pati. The 7 containers of export products included essential oils, organic coconut sugar, processed foods, brooms, organic palm sugar, and handicrafts.

Central Java Governor Ganjar Pranowo released seven containers of local MSME product for export to Asia, the Middle East and America. [Image: Antara]

Ratna Kawuri, Head of Central Java’s One-Stop Integrated Investment and Licensing Service (DPMPTSP), said the 4 containers dispatched from Purwokerto consisted of a 20-foot container of essential oils produced by PT Indesso Aroma (Banyumas) destined for China, a 40-foot container of organic coconut sugar produced by CV Inagro Jinawi (Banyumas) bound for the United States, a 40-foot container of rebel coconut sugar produced by CV Permata Satria (Banyumas) also destined for the US, and a 40-foot container of processed food such as vermicelli produced by PT Lestari Jaya Bangsa (Banyumas) bound for Saudi Arabia.

The MSME products dispatched from their respective companies included a 20-foot container of brooms produced by CV Rayung Pelangi (Purbalingga) destined for South Korea, a 20-foot container of organic ant sugar produced by CV Bunga Palm (Purbalingga) bound for the United States, and a 20-foot container of Syams Indonesian Handicraft products (Pati) destined for Japan. The total export value reached IDR 7.25 billion, contributing to the positive trade balance in the first quarter of 2023, impacting the export-import balance surplus of around USD 708 million, Ratna said.

Following the export release, Governor Ganjar Pranowo stated that the support provided by the local government and MSME activists had yielded results. He acknowledged that some producers, like the essential oil manufacturer, had already gained experience and were exporting their products to many countries. Ganjar emphasized the importance of maintaining product quality and reminded the MSMEs, particularly those producing organic coconut sugar, to uphold the organic farming practices to preserve the quality.

“I believe that if this trend continues consistently, the orders for exports will continue to flow. Thus, the government will continue to support MSMEs to increase their exports,” he stated. Ganjar Pranowo considers the increase in exports from Central Java, particularly from MSMEs, to be positive news. He believes that this signifies the upward progress of MSMEs and their potential to compete in the global market.

Released by the Central Java Provincial Government. Copyright (c) ANTARA 2023

Governor of Central Java Ganjar Pranowo initiated a free school for underprivileged students

The Governor of Central Java, Indonesia, Ganjar Pranowo, established SMK Negeri Jawa Tengah (SMKN Jateng), a free school for underprivileged students with the concept of a boarding school.

Inaugurated on June 2, 2014, the school is currently located in three places, namely Semarang City, Purbalingga Regency, and Pati Regency.

The presence of SMKN Jateng aims to reduce poverty rates in Central Java through education.

All education expenses are borne by the Central Java Provincial Government’s regional revenues and expensitures budget (APBD) along with other stakeholders’ financial contribution. All student needs such as boarding, food, uniforms, work clothes, stationery, and other necessities are also provided by the Central Java Provincial Government.

The main campus of SMKN Jateng is located in Semarang City and covers an area of 3.5 hectares. The school currently accommodates 365 students, consisting of 281 male and 75 female students who are currently in grades one, two, and three.

According to the Head of SMKN Jawa Tengah in Semarang, Samiran, the school uses both the national curriculum and a character-based curriculum. The national curriculum is taught by teachers, while the character curriculum is taught by caregivers or mentors with relevant backgrounds.

Teaching and learning activities take place from Monday to Friday, while Saturday and Sunday are used for extracurricular activities.

There are five majors at SMKN Jateng in Semarang, namely Construction and Housing Engineering, Industrial Electronics Engineering, Electrical Power Installation Engineering, Machining Engineering, and Light Vehicle Engineering.

According to the Public Relations Officer of SMKN Jateng in Semarang, Heri Purnomo, in the last three years, the school has graduated 357 students. Of this number, 70 percent have been employed by the Indonesian Armed Forces, civil servants, or absorbed by various large companies in Indonesia, both state-owned and private. Meanwhile, 20 percent had the opportunity to continue their education at universities, and the rest either opened their businesses or were still looking for work.

The school always approaches and discusses with various companies in Indonesia to ensure its graduates are suitable for industry needs. This is done to ensure that SMKN Jateng graduates in Semarang are always compatible with the needs of the workforce.

Governor Ganjar Pranowo reasserts that he prioritizes access to education for children from underprivileged families in Central Java.

“By providing free schooling for these children, it can help reduce the poverty rate in the region, as educated individuals have a better chance of securing employment and improving their economic situation,” said Ganjar.

Furthermore, he conveys, the opening of semi-boarding schools in 15 areas in Jawa Tengah will not only provide education but also provide a place for students to stay during the school term, especially for those who live far away from the school or do not have a conducive learning environment at home.

“Education is essential in breaking the cycle of poverty, and initiatives like these can go a long way in providing opportunities for those who may not have had access to education otherwise. It is important for leaders to prioritize education and work towards providing equal opportunities for all children, regardless of their background or financial status,” concluded Ganjar.

–Antara