Key insights and market outlook
Grab Indonesia, in collaboration with Ovo and the Ministry of MSMEs, has successfully digitalized over 200,000 MSMEs in Kudus through its 'Kota Masa Depan' program. This initiative aims to enhance MSME competitiveness in the digital era by providing access to digital platforms. The program is part of a broader effort to support Indonesia's digital economy, where 70% is currently driven by e-commerce.
Grab Indonesia, in partnership with Ovo and the Ministry of Micro, Small, and Medium Enterprises (MSMEs), has launched its 'Kota Masa Depan' (City of the Future) program in Kudus, Central Java. This initiative marks the 16th city where the program has been implemented, focusing on enhancing the digital capabilities of local MSMEs and creative economy players.
As of December 19, 2025, the program has successfully digitalized over 200,000 MSMEs across various small cities in Indonesia. Temmy Satya Permana, Deputy for Small Enterprises at the Ministry of MSMEs, highlighted that the government is committed to promoting digital transformation among MSMEs from upstream to downstream activities. Currently, around 25 million MSMEs in Indonesia have transitioned to digital platforms to improve operational efficiency and expand market access.
The digitalization of MSMEs is crucial for Indonesia's economic development, particularly as 70% of the country's digital economy is supported by the e-commerce sector. By connecting MSMEs to digital platforms, the government and private sector aim to unlock significant growth potential and enhance the competitiveness of local businesses in the digital landscape.
The 'Kota Masa Depan' program demonstrates the collaborative efforts between the government and private companies to drive digital adoption among MSMEs. As more businesses transition to digital platforms, Indonesia's digital economy is expected to continue growing, providing new opportunities for economic development and job creation.
MSME Digitalization Program Expansion
Kota Masa Depan Initiative