Middle-Class Businesses Overlooked, HIPMI Warns on Entrepreneurship Day
Jakarta. Indonesia’s Young Entrepreneurs Association (HIPMI) has called on the government to boost support for the country’s middle-class business owners, warning that current policies focus too heavily on small-scale enterprises.
HIPMI Chairman Akbar Himawan Buchari made the remarks during a speech commemorating National Entrepreneurship Day at the SMESCO building in South Jakarta on Tuesday. He said Indonesia’s entrepreneurship ecosystem lacks balance, with middle-tier entrepreneurs often overlooked in favor of micro and small businesses.
“Government policies have long favored small enterprises, as seen with the development of microcredit programs like KUR,” Buchari said. “But we are neglecting our middle-class entrepreneurs, who also need support to grow and share in the prosperity.”
Buchari stressed the importance of building a more inclusive entrepreneurial environment that nurtures businesses of all sizes. He said that while Indonesia’s entrepreneurship ratio has reached 3.8 percent, the growth has been uneven, especially in the middle segment.
Citing data from Statistics Indonesia (BPS), Buchari said that only 17 percent of Indonesia’s entrepreneurs fall into the middle-class category, far below countries like China and the United States, where middle-tier entrepreneurs make up 55–60 percent of the total.
“This gap must become a national concern,” Buchari said.
Read More: Prabowo’s $1.5 Billion Economic Stimuli: Are They Good Enough?
Entrepreneurship Ratio
Cooperatives and Small and Medium Enterprises (SMEs) Maman Abdurrahman outlined efforts to increase the national entrepreneurship ratio from 3.1 percent to 3.2 percent in 2025. The ministry aims to achieve this through accelerated training, mentorship, and market access programs.
“We are currently accelerating efforts to lift the ratio from around 3.1 percent to 3.2 percent,” Maman said.
To reach this goal, the Ministry is working with other government agencies, including the Manpower Ministry, to optimize vocational training centers as hubs for entrepreneurship development. A long-term objective is to boost the national entrepreneurship ratio to 3.6 percent by 2029.
Buchari reiterated that middle-class entrepreneurs must be part of this vision, stressing their potential as drivers of national growth and job creation. He urged the government to adopt a more balanced approach in crafting economic policy.
The National Entrepreneurship Day celebration served as a collaborative platform between the government and HIPMI, bringing together micro, small, and young entrepreneurs. The government also announced that June 10 will be commemorated annually as National Entrepreneurship Day.
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