UKM Still Need Govt's Support: Economist
"By considering this ministry's contribution in the development of the people's economy, Indonesia's new government needs to maintain its existence and strengthen its authority," Padjadjaran State University's economist, Kodrat Wibowo, noted here on Monday.
Wibowo pointed out that the ministry is required as several Indonesians running cooperatives and small and medium enterprises have yet to gain easy access to the banking sector to enable them to expand their businesses.
"Therefore, our cooperatives and small and medium enterprises still need the government's support," he remarked, adding that the difficulties in getting access to the banking sector were faced by almost all people running small and medium enterprises in the country.
Limited access to the banking sector was caused by various factors such as lack of information and poor understanding on the ways to make a bankable budget planning or loan proposal, he stressed.
Besides maintaining its existence in Joko Widodo's cabinet, strengthening the ministry's authority was also important by making it the leading sector for empowering and developing cooperatives and small- and medium-scale companies in Indonesia, Wibowo asserted.
During the current government's era, the Industry Ministry and Trade Ministry, for instance, had formulated their own programs for empowering and revitalizing small industries and traditional markets.
This overlapping authority can be avoided by enabling the Cooperatives and Small and Medium Enterprises Ministry to become the leading sector for developing and empowering cooperatives and small and medium enterprises in the country, he stated.
Meanwhile, former chairman of the Nahdlatul Ulama Hasyim Muzadi has warned that the presence of political party officials appointed as ministers in President-elect Joko Widodo's cabinet cannot be overlooked.
Speaking to journalists after attending a conference at Al Hikam Islamic Boarding School here on Sunday, he noted that ignoring the presence of political party officials in the cabinet will create problems for the government in dealing with the parliament.
Hasyim Muzadi believed that it will not be a problem if the next cabinet structure was "big" as long as those appointed were professional and capable people.
Joko Widodo will officially take over as president of Indonesia on October 20, 2014. (antara)
