PERANAN PENTING UMKM UNTUK MENOPANG STABILITAS KEUANGAN DAN PEREKONOMIAN NASIONAL

Abstract

Given that small and medium-sized businesses are extremely involved in workforce
development and enhancing people's well-being, MSMEs play an important role as
a potential sector and contribute to the general stability of the economy. The
abbreviation for Usaha Micro, Small, and Medium is UMKM. MSMEs, on the other
hand, have a much broader meaning when viewed through a different lens and
defined in a different way. MSMEs are businesses or businesses run by individuals,
households, or small business entities for business actors. Prof. Ina Primiana, a
senior economist, says that UMKM is a small business that drives the development
movement and Indonesia's economy. In contrast, M. Kwartono Adi provided a more
in-depth explanation of the definition of MSMEs, which he defined as a company
with an annual profit of no more than 200 million dollars. If a company or
businesses meet the requirements for a microbusiness, they can be referred to as
UMKM. In accordance with Regulation No. 20 of 2008, micro, small, and mediumsized enterprises (MSMEs) are distinguished according to each type of business.