ADB Gender’s Post

The Importance of Financial Literacy in Indonesia Financial literacy is crucial for empowering individuals and fostering economic growth. In Indonesia, where the digital economy is rapidly expanding, understanding personal finance so they are better equipped to make informed decisions about saving, investing, and spending. These can lead to a higher quality of life by reducing stress and improving financial stability. Current State of Financial Literacy and Inclusion in Indonesia: - Financial Literacy Rate: As of the latest survey by the Financial Services Authority (OJK) in 2022, the financial literacy rate in Indonesia is around 49%. This means that only 49 out of 100 Indonesians have a good understanding of financial products and services. OJK targeted to increase this number to 70%. - Financial Inclusion Rate: The financial inclusion rate, which measures the percentage of the population that has access to financial services, stands at 85%. This shows significant progress but also highlights the need for further efforts to include the remaining population. Unfortunately, financial literacy is not taught in formal education. This gap means that financial knowledge might be passed down from one generation to the next without improvement. If the previous generation lacks good financial literacy, this can lead to more serious problems in the future, such as poor financial decisions, increased debt, and limited economic mobility. Improving financial literacy is a collective effort involving government, financial institutions, educational entities, and the community. Let's work together to build a financially literate and inclusive Indonesia! #FinancialLiteracy #Indonesia #EconomicGrowth #FinancialInclusion #Empowerment #FinancialEducation #Consumerexperience #Consumerresearch #Opportunity #Education

Financing has been very helpful for women entrepreneurs. Not only it increases income and creates work opportunities, but also eradicates poverty and empowers women financially, socially, psychologically, and politically. Since 2007, Indonesia has provided working capital loan (kredit usaha rakyat or KUR) to assist MSMEs to access finance.  Here is a published article extracted from my master student's thesis. I was the second author. I hope the result give benefit to the development of SME in Indonesia https://lnkd.in/gFzZguMv

Did you know that among Micro and Small-Sized Enterprises (MSEs) in #Indonesia:   🚀 7 out of 10 MSEs are confident in using digital tools to boost their operations. Yet, 64% are unsure which tools fit best. 📚 Almost 70% of MSEs see the importance of business, digital marketing, and finance skills training, but only a third have tapped into support services. 💰 Most MSEs haven’t used credit or loans in the past year. Why? 62% didn’t need it, and 28% found it unaffordable.   A new study, the Small Business Barometer Report, published by the Mastercard Center for Inclusive Growth, Mercy Corps Indonesia and 60 Decibels, uncovers the hurdles small businesses in the country face and where they need help to grow.   Download the report here: https://lnkd.in/dpcJdKV5

We all know that the #privateequity #industry is larger than the #privatecredit #market but how much? According to McKinsey reporting the private equity had around $11.7 trillion in assets under management in 2022 compared to private credit’s $1.7 trillion the same year. It's like private equity = private credit * 7 times, previously it was 10 times. They both complement each other and create synergy which in turn confuses the investors in the alternative investment landscape. Private Credit provides flexible financing solutions during various stages of the life cycle of a company when it is in an equity deficit. Private Equity investments enhance the creditworthiness business which creates eligibility for more credit opportunities. When we observe them region wise the ratio of the private equity to private debt assets under management is 30.8x for APAC compared to 5.2x and 3.5x for the #UnitedStates and #Europe, respectively. APAC is a home to 60% of the world’s young people (between 15-29), and this group makes up 25% of the region’s population, concentrated in the developing economies. 7 Countries like Indonesia and Vietnam can still reap a demographic growth dividend, despite the fact that they are aging faster than economies that are already relatively old. #privateequity #privatedebt #apacregion

Indonesia has 65 million Micro, Small, and Medium Enterprises (MSME) which represent almost 99% of all businesses in the country. However, of those, only 22 million are connected to the digital ecosystem and only 18 million have access to formal financing.   A new study, the Small Business Barometer Report, published by the Mastercard Center for Inclusive Growth, Mercy Corps Indonesia and 60 Decibels, uncovers the hurdles small businesses in the country face and where they need help to grow. Download the report here: https://lnkd.in/dpcJdKV5   Together, we are driving meaningful impact and fostering sustainable growth for local businesses. #indonesia #msme #digitalecosystem #internationaldevelopment

𝐆𝐨𝐯𝐞𝐫𝐧𝐦𝐞𝐧𝐭 𝐔𝐧𝐯𝐞𝐢𝐥𝐬 𝐒𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐜 𝐏𝐨𝐥𝐢𝐜𝐲 𝐏𝐚𝐜𝐤𝐚𝐠𝐞 𝐭𝐨 𝐒𝐮𝐬𝐭𝐚𝐢𝐧 𝐄𝐜𝐨𝐧𝐨𝐦𝐢𝐜 𝐆𝐫𝐨𝐰𝐭𝐡 𝐢𝐧 𝟐𝟎𝟐𝟑 The Indonesian government, in a concerted effort to uphold and stimulate economic growth throughout the remainder of 2023, has devised a set of strategic policy measures. This strategic response is prompted by the ever-shifting dynamics of both the global and local economic landscapes. In the third quarter of this year, Indonesia’s economic growth registered at 4.94% annually (YoY), signaling positive growth albeit at a slower pace compared to the same period in 2022, which recorded 5.73%. Recognizing this favorable trend, the government is proactively preparing a comprehensive policy package. This policy package encompasses three pivotal policies, the Reinforcement of Social Assistance to safeguard the purchasing power of the impoverished and vulnerable, the Acceleration of the Disbursement of the KUR Program, and the Fortification of the Housing Sector. read the full article: https://lnkd.in/gfgaCYwg ------------------------------------ Bizindo is a full-service market entry firm, bridging the foreign companies seeking entry to Indonesia market for the purpose of setting up new business, visa/immigration, sworn translation and corporate services. Visit web: https://bizindo.com/ Follow our Twitter: https://lnkd.in/gR_BWEf6 Follow our Instagram: https://lnkd.in/g9_h3rxG Join Expat Life Indonesia News Facebook Group: https://lnkd.in/g8PFebVN Join Indonesia Visa, Company Setup & Law Guide Facebook Group: https://lnkd.in/guvzaUM https://lnkd.in/g2XqPv7S

As Lao PDR is a developing country, many Micro, Small and Medium Enterprises (#MSMEs) do not have adequate financial literacy (i.e., the ability to conduct basic bookkeeping; calculate production costs; financial planning, etc.). They also lack the resources to hire accountants to assist them. Accordingly, on May 29, 2021, EBIT Consultancy Co., Ltd. (EBIT) established the Advanced Solutions Support Ending Troubles (ASSET) Project to develop online accounting software under its domain name: 👉 AssetAsia.net ===== ✅ The objective of this system is to make accounting easier for those who have little or no experience in the area so that they can conduct accounting independently. It will also assist microenterprises and other small businesses that will be able to save time and money by doing their bookkeeping and financial management. If the business owners are able to read Lao, and they have internet access, a smartphone, or a computer, they can manage their finances via the online accounting software on 👉 AssetAsia.net On February 7, 2022, 👉 AssetAsia.net website was officially launched for microenterprises and individuals to use free of charge. (please refer to 👉 https://lnkd.in/gzYcCNU8 for more details). =====   License of Free Online Accounting Software for MSMEs officially authorized by the Ministry of Finance of Lao PDR, regarding the license number 0534/MoF dated 12 February 2024 |  https://lnkd.in/gJ9EpByA ====== To achieve a sustainable goal of the ASSET Project, the Advanced Solutions Support Ending Troubles (ASSET) Project was legally transformed to the "Social Enterprise" namely the "Asset Asia Co., Ltd." (ASSET) [ https://lnkd.in/gVv_7vSa ] in 6 December 2022 to ensure the sustainable service provision for the users especially Lao micro-enterprises and individuals.   More at: 👉 https://lnkd.in/dTp97Vrd   ======   Please follow us at: Facebook: https://lnkd.in/gKGZQtBW  Youtube: https://lnkd.in/gYsjQWHH TikTok: https://lnkd.in/gr8uznNk

In a recent opinion piece for The Business Times, our CFO, Eddy Porwanto, explores the transformative power of blended finance in emerging markets. Blended finance, which combines capital from public, private, and philanthropic sources, has been pivotal in advancing projects that might otherwise need help attracting funding due to perceived risks. He elaborates on how such financial structures enhance the investment appeal of regions like ASEAN and align seamlessly with global sustainability goals. This strategic approach underpins INA's commitment to foster impactful investments that not only yield financial returns but also drive social and economic progress across Indonesia and beyond. Read the full article here: https://lnkd.in/ggpxKRMS #SustainableDevelopment #BlendedFinance #EmergingMarkets #INA

𝐆𝐨𝐯𝐞𝐫𝐧𝐦𝐞𝐧𝐭 𝐔𝐧𝐯𝐞𝐢𝐥𝐬 𝐒𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐜 𝐏𝐨𝐥𝐢𝐜𝐲 𝐏𝐚𝐜𝐤𝐚𝐠𝐞 𝐭𝐨 𝐒𝐮𝐬𝐭𝐚𝐢𝐧 𝐄𝐜𝐨𝐧𝐨𝐦𝐢𝐜 𝐆𝐫𝐨𝐰𝐭𝐡 𝐢𝐧 𝟐𝟎𝟐𝟑 The Indonesian government, in a concerted effort to uphold and stimulate economic growth throughout the remainder of 2023, has devised a set of strategic policy measures. This strategic response is prompted by the ever-shifting dynamics of both the global and local economic landscapes. In the third quarter of this year, Indonesia’s economic growth registered at 4.94% annually (YoY), signaling positive growth albeit at a slower pace compared to the same period in 2022, which recorded 5.73%. Recognizing this favorable trend, the government is proactively preparing a comprehensive policy package. This policy package encompasses three pivotal policies, the Reinforcement of Social Assistance to safeguard the purchasing power of the impoverished and vulnerable, the Acceleration of the Disbursement of the KUR Program, and the Fortification of the Housing Sector. read the full article: https://lnkd.in/gTp9Ujhm ------------------------------------ Bizindo is a full-service market entry firm, bridging the foreign companies seeking entry to Indonesia market for the purpose of setting up new business, visa/immigration, sworn translation and corporate services. Visit web: https://bizindo.com/ Follow our Twitter: https://lnkd.in/g-m2m8nn Follow our Instagram: https://lnkd.in/gPuMAVcn Join Expat Life Indonesia News Facebook Group: https://lnkd.in/gt9gKgE Join Indonesia Visa, Company Setup & Law Guide Facebook Group: https://lnkd.in/g8YxTDv https://lnkd.in/gVqaZ8Fs

Indonesia's Orange Bond Initiative (OBI) could be a game changer in sustainable finance. It's not just about the money—it's about weaving #genderequality and social impact into the very fabric of the country's financial landscape. By directing funds towards women-led businesses, the OBI aims to close the gaps, driving inclusive economic growth and resilience. This initiative is a testament to the power of innovative financial tools to deliver substantial social and environmental benefits, setting a new benchmark for global finance. It will be interesting, in my opinion, to see how this initiative evolves and inspires other countries to follow suit. Will this be the next big leap in sustainable finance? Shruti Deora Jaya Jain Ambika Chandra