New GBC Opens in Jakarta, Indonesia... Supporting SME Market Entry

Number of Indonesian Exporting SMEs Increasing Annually
Jungjinkong and Indonesian University Sign MOU

The Ministry of SMEs and Startups announced on the 3rd that it has newly opened the Jakarta Global Business Center (GBC) to support the entry of domestic SMEs and startups into Indonesia.

Oh Young-joo, Minister of SMEs and Startups, is giving a greeting at the Dubai SME Support Council meeting held on the 4th of last month at the Dubai Global Business Center (GBC). Photo by Yonhap News

Indonesia is the fourth most populous country in the world and has the largest consumer market in ASEAN. It is evaluated to have excellent growth potential due to abundant natural resources and a high proportion of the working-age population.

Accordingly, the number of SMEs exporting to Indonesia and the number of new SME corporations in Indonesia have been steadily increasing. The number of SMEs exporting to Indonesia rose from 7,267 in 2021 to 7,306 in 2022, and 7,379 last year. The number of new corporations also recorded 43 in 2021, 51 in 2022, and 57 last year.

The Jakarta GBC covers a total area of 963㎡ and consists of 15 private rooms, 20 shared office seats, and meeting spaces. Located in the business center of Jakarta, it is characterized by its convenience for buyer meetings and networking. The Ministry of SMEs and Startups plans to support the localization of companies residing in Jakarta GBC in various ways through professional advisory services such as legal and accounting, as well as programs specialized for the local market.

The opening ceremony was attended by more than 130 people, including Park Su-deok, Charg? d'Affaires of the Korean Embassy in Indonesia; Ir. Dedi Priadi DEA, Vice President of Indonesia University; Park Jae-han, President of the Korean Association in Indonesia; as well as local government and related agency officials and businesspeople.

In particular, to support SMEs entering Indonesia, a Memorandum of Understanding (MOU) was signed among the Korea SMEs and Startups Agency, Indonesia University, Jakarta GBC, and Cheil Worldwide Indonesia corporation. Through this MOU, companies entering Indonesia will be able to operate internship programs utilizing outstanding talent from Indonesia University, and Cheil Worldwide Indonesia will provide local entry consulting services to companies residing in Jakarta GBC.

The Ministry of SMEs and Startups and the Korean Embassy in Indonesia also jointly held the ‘Indonesia Trade and Investment Promotion Seminar.’ Experts from four organizations, including Cheil Worldwide Indonesia and the Economic Research Institute for ASEAN and East Asia (ERIA), presented on SME branding strategies and the impact of Indonesia’s import regulations.

Choi Won-young, Director of Global Growth Policy at the Ministry of SMEs and Startups, said, “In the current situation where global economic uncertainties continue, SMEs are seeking new growth opportunities through diversification of export countries, and interest in markets with growth potential such as Indonesia is increasing. With the opening of Jakarta GBC as an opportunity, we will systematically support SMEs’ entry into Indonesia.”