The micro and small businesses mentoring program, a collaboration between Mastercard, Bank Commonwealth, and Mercy Corps Indonesia, aims to help MSMEs succeed
Jakarta – June 22, 2021 – Mastercard and PT Bank Commonwealth (Bank Commonwealth) today announced that MicroMentor Indonesia (MMI), a program launched two years ago in collaboration with Mercy Corps Indonesia, has become the biggest MicroMentor volunteer mentor and Micro, Small and Medium Enterprise (MSME) community in the world. Since it started, the program has reached nearly 27,000 MSMEs and 20,000 mentor volunteers in Indonesia. This program has also achieved 50,000 interactions of MSMEs and volunteer mentors by its activities. Supported by the Ministry of Cooperatives and SMEs, MMI aims to connect MSMEs with business mentoring and cybersecurity training to support the ministry’s target of 30 million MSMEs entering the digital ecosystem by 2024.
Micro and small businesses in Indonesia have been hit particularly hard by the pandemic, with a survey from the Indonesian Central Bank reporting that 87.5% of MSMEs were impacted by COVID-19—a significant issue in a country where 97% of all employment is provided by businesses of this size.
The first free virtual mentorship platform in Indonesia, MMI succeeded in bringing a virtual, scalable business-mentoring ecosystem to the country in 2019. Since mid-2020, the number of mentor volunteers and entrepreneurs participating in MMI more than doubled, with proprietors across the country seeking digital business mentoring that could assist their businesses to cope with the challenges of the pandemic. Last year's program has seen substantial results for its enrollees, with 91% of the businesses staying in operation during this time, and 19% experiencing business growth. Furthermore, it has seen businesses involved in MMI create an additional 1,158 new jobs (including self-employment).
“In 2014, Bank Commonwealth launched financial literacy program for Women MSMEs entrepreneurs through WISE (Womenpreneur Indonesia for Sustainability and Empowerment). As per May 2021, we have supported 106,000 Women MSME entrepreneurs through this Financial Literacy program. We are pleased to continue our support of the growth of Indonesian MSME businesses through MicroMentor Indonesia (MMI), in collaboration with Mastercard and Mercy Corps Indonesia. MSMEs play a vital role in supporting the Indonesian economy and MSME mentoring is needed for the development of MSMEs in Indonesia to be more competitive as well as resilient, especially during the current challenging environment as a result of the COVID-19 Pandemic. We believe a program like MicroMentor Indonesia will play a major role in assisting Indonesian MSMEs to gain relevant training and coaching based on their specific needs,” said Lauren Sulistiawati, President Director of Bank Commonwealth.
“Supporting entrepreneurs and business owners is important for inclusive growth in Indonesia because these micro and small businesses create jobs in under-served communities. We’re incredibly pleased with the growth of the MMI program to date, and we look forward to continuing to enable micro and small businesses overcome challenges and accelerate their post-COVID recovery in a sustainable manner,” said Ade Soekadis, Executive Director, Mercy Corps Indonesia.
“The MMI program is part of Mastercard’s commitment to Indonesia under Mastercard Academy 2.0, with the goal of empowering 100,000 Indonesians with the skills to succeed in the country’s digital economy. Given the importance of MSMEs in providing employment and economic stability to millions in Indonesia, the program will prove to be pivotal for both businesses and mentors alike, for post-pandemic recovery in specific, and Indonesia’s digital transformation journey in general,” said Navin Jain, Country Manager, Indonesia, Mastercard.
As the program moves into its third year, MMI is expected to reach 40,000 MSMEs as active users across Indonesia in the third year. . Mastercard has provided an expert speaker series video which can be accessed by not only program participants, but also by the public. Bank Commonwealth will also provide materials and mentors with topics around business management, HR, financial management, etc. as well as other relevant topics from various sources.