Sustainable finance is an economic activity that not only makes decisions to invest but considers environmental, social and governance factors for investment in the long term. MSMEs can fully contribute to supporting this sustainable finance program in restoring environmental conditions, especially our focus on fighting climate change.
The biggest challenge in carrying out the role of sustainable finace in Indonesia is to convince business actors and the community if they want to generate more lasting business profits can be done by thinking long-term to consider natural resources and social impacts felt by the community.
Therefore, the need for initiative actions carried out by business actors to benefit in the short term but have prosperity in the future. On the other hand, opportunities seem to be present in the era of the COVID-19 Pandemic by utilizing technological advances that guide digital businesses. The use of digitalization facilitates the rapid access of information flow in making investment decisions.
According to OJK (Financial Services Authority), MSME businesses can carry out 7 initiative steps in building the Sustainable Finance Concept, such as:
- Policy : Business actors are asked to provide a platform for the development of various policies to support sustainable sustainability
- Product : Business actors must have innovations to develop types of sustainable business products and services such as the impact and how to manage the waste generated from business production
- Marketinfrastructure: Develop enterprise technology and information infrastructure that supports sustainable financial activities
- Coordination of Ministries or Institutions (K/L): Expanding the coordination network of business actors with ministries and institutions and stakeholders in establishing information exchange with MSMEs
- Non-Governmental: Support Support comes in the form of demand and supply or in the world of economics called supply and demand. Support can be obtained by business actors in the form of research support such as from research institutions, universities and experts. As well as support from International Institutions is urgently needed for the development of sustainable financial initiatives.
- Human resources : Conducting internal and external development through several capacity building programs that have been structured and massive for MSMEs
- Awareness: Getting awareness / attention for business actors can be done by developing communication strategies about sustainable finance to the financial industry, relevant stakeholders and the community
So in starting the investment of MSME business actors should do research and understand what sectors are engaged in the field. It is time for investment businesses to care about the environment so that it can be passed on to the next generation of young people.
Source : Otoritas Jasa Keuangan(OJK), Kementerian Keuangan (KemenKeu)
