White Paper Launch: ‘Realizing a Sustainable Business Future through Empowering Green MSMEs’
Background
White Paper Launch: ‘Realizing a Sustainable Business Future through Empowering Green MSMEs’
Micro, Small, and Medium Enterprises (MSMEs) are the backbone of the Indonesian economy, contributing more than 60% to the national Gross Domestic Product (GDP) and absorbing up to 97% of the workforce. The presence of MSMEs throughout the country makes them a key driver of economic activity and a crucial instrument for equitable development. However, in the context of global climate change and the demand for a low-carbon economy, the MSME sector faces significant challenges in transforming itself.
Indonesia, through its 2025–2045 National Long-Term Development Plan (RPJPN) and 2025–2029 National Medium-Term Development Plan (RPJMN), has affirmed its commitment to achieving inclusive, competitive, and sustainable economic growth. Ambitious targets such as reducing greenhouse gas emissions by 93.5% by 2045, increasing the share of renewable energy, and improving environmental quality require the active involvement of all sectors, including MSMEs.
On the other hand, MSMEs also face significant opportunities to become key actors in the green transition. Changing global consumer preferences, increasing demand for environmentally friendly products, and the growth of green financing create opportunities for MSMEs to strengthen their competitiveness while contributing to achieving national climate targets. This transformation requires a clear strategic framework, adequate policy support, strengthened business capacity, and cross-stakeholder collaboration.
To address this need, the Ministry of National Development Planning/Bappenas, in collaboration with the Asian Development Bank (ADB) and the Institute for Essential Services Reform (IESR), has developed a White Paper titled “Realizing a Sustainable Business Future through Empowering Green MSMEs.” This document includes an analysis of the current situation, a transformation roadmap, policy recommendations, and implementable steps to accelerate the adoption of green practices by MSMEs throughout Indonesia. The launch of this White Paper serves as a strategic opportunity to convey policy messages, encourage collaboration, and strengthen cross-stakeholder commitments to ensure Indonesian MSMEs are ready to compete in a global market that increasingly demands sustainability.
Objectives
- To officially launch the White Paper “Green MSMEs and Net Zero” to the public and stakeholders.
- To convey the vision, policy direction, and roadmap for green MSME development in Indonesia.
- To build cross-stakeholder support (government, development partners, the private sector, and communities) for the implementation of the White Paper recommendations.
- To increase public and business awareness regarding the importance of transforming MSMEs toward green and sustainable business practices.
Speakers
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Minister of Micro, Small, and Medium Enterprises (MSMEs)*
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Minister of National Development Planning (PPN)/Head of Bappenas*
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Ratih Purbasari Kania - Director of Natural Resources Planning and Manufacturing Industry - Ministry of Investment/BKPM*
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Novia Tan - Chief Executive Officer - Rebricks*
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Fahmi Imam Fauzy - APINDO National Leadership Council for MSMEs*
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Deputy for Community Empowerment, Population and Employment - Bappenas
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Asian Development Bank (ADB)
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Speaker to be confirm mark *
