This study aims to examine the impact of the Micro, Small, and Medium Enterprises (MSMEs) digitalization program on improving business performance and their contribution to the Indonesian economy by 2025. The research method used is a descriptive qualitative approach, utilizing secondary data from the Institute for Development of Economics and Finance (INDEF) report and supported by literature studies from various previous studies. The results of the study indicate that MSME digitalization by utilizing digital platforms such as e-commerce and social media has a significant positive impact on increasing turnover, operational efficiency, and workforce absorption. Data shows that more than 88% of MSMEs experienced an increase in turnover after implementing digital technology, and around 24% experienced an increase in the workforce. In addition, digitalization can also increase competition and expand MSME market access to national and international scales. However, the implementation of digitalization still faces several challenges such as low digital literacy rates, limited infrastructure, and difficult access to financing. Therefore, synergy between the government, the private sector, and MSMEs is crucial in strengthening the digital ecosystem to encourage inclusive and sustainable economic growth in Indonesia.
Copyrights © 2026