The role of regional government in the development of MSMEs in Cirebon City

Abstract

In order to support MSME players, the government continues to provide stimulus to accelerate the national economic recovery process and strengthen Bank Indonesia’s policy mix related to strengthening financing or credit. Several things have been done in the context of developing MSMEs in the agricultural sector through the development of end-to-end integrated agricultural clusters by utilizing digitalization for superior commodities, volatile foods and export commodities. The development of this agricultural cluster also supports the inflation control program in West Java. Cirebon City, is one of the cities/regencies in West Java which has the target of “Increasing the role of industry, trade, cooperatives and MSMEs in the economic stability of Cirebon City” as reflected in the average achievement of the two performance indicators as measuring tools, namely 98.58%. Therefore, this research aims to describe the role of local government in developing MSMEs in Cirebon City. The research results show that the regional government plays a role as a facilitator which is realized through training activities, capital and technology assistance, the regional government also plays a role as a catalyst which is realized through promotional activities for MSME products in Cirebon City.