The use of information technology in the current era of digital economy and Industry 4.0 is prioritized to support and drive the growth of Small and Micro Enterprises (SMEs) in Indonesia. This research aims to understand and analyze the impact of information technology on SMEs in Indonesia from 2015 to 2019. The analysis uses variables such as the number of employees in SMEs, the Information and Communication Technology Development Index (ICTDI), the Proportion of Youth aged 15-59 with ICT Skills (PYICT), and Gross Regional Domestic Product (GRDP) as independent variables, while the number of SMEs/units serves as the dependent variable. The data used in this study are secondary data sourced from the Central Statistics Agency (BPS) and the 2016 Economic Census. This research employs a panel data regression model using the Fixed Effect Model (FEM) on 34 provinces in Indonesia from 2015 to 2019. The results indicate that the number of employees in SMEs and PYICT have a positive and significant impact on the growth of SMEs in Indonesia, while ICTDI and GRDP do not significantly influence the number of SMEs in Indonesia.
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