APEC: Empowering Women MSMEs Through Digital Finance & Inclusion

The Asia Pacific Foundation of Canada (APF Canada) convened a high-level workshop in Jakarta on February 6, 2026, focused on bolstering inclusive business development for micro, small, and medium enterprises (MSMEs) across the APEC region. The workshop, held on the margins of an APEC Business Advisory Council (ABAC) meeting, brought together policymakers, business leaders, and MSME support organizations to discuss the critical role of digital finance and market readiness, particularly for women-led enterprises. The discussions underscored the urgent need for scalable systems that drive income growth and ensure equitable access to financial tools and market opportunities for women entrepreneurs.

Indonesia’s MSME Engine and the Imperative of Inclusion

Anindya Novyan Bakrie, ABAC Indonesia member and Chairman of the Indonesian Chamber of Commerce and Industry (KADIN), emphasized the central role of MSMEs in Indonesia’s economic future. These enterprises account for over 60 percent of the country’s GDP and 97 percent of its employment, with women leading more than half of them. KADIN’s leadership highlights the recognition that the success of these women-led businesses is not merely a matter of equity, but a fundamental driver of national economic growth. Bakrie stressed a shift in focus towards building consistent, scalable systems, rather than isolated initiatives, to deliver tangible economic benefits.

A key element of this systemic approach, Bakrie argued, is leveraging digital finance tools like the QRIS system – a single national QR code facilitating digital payments across various partner apps. Currently used by 40 million merchants in Indonesia, QRIS is not simply a payment method, but a potential cash flow ecosystem for MSMEs. The call is to treat it as such, providing women-led businesses with access to essential financial tools and prioritizing demand-driven market linkages, pathways to economic freedom, and intentionally designed programs. This collaborative approach, between the Indonesian government and the private sector, is presented as a model for success.

Strengthening Digital Financial Inclusion for Women Entrepreneurs

A panel discussion centered on strengthening digital financial inclusion for women entrepreneurs, exploring how digital payments, e-wallets, and online marketplaces can enhance efficiency and expand market access. Participants identified key barriers, including digital literacy gaps, data privacy concerns, and the lack of tailored financial products. Vina Nadjibulla, Vice-President Research & Strategy at APF Canada, moderated the discussion, featuring Siti Azizah, Deputy Minister of Entrepreneurship at Indonesia’s Ministry of MSMEs; Shinta Kamdani, ABAC Indonesia; and Tamara Wu, Founder & CEO of Liberty Society, a social enterprise focused on empowering marginalized women through skills training, and employment.

Deputy Minister Azizah outlined the challenges Indonesian MSMEs face in accessing digital financing. Despite 97 percent of the country’s e-commerce activity being driven by MSMEs – generating approximately 1,280 trillion IDR (roughly C$103 million annually) – effectively supporting their growth remains a significant undertaking. The Ministry has responded with capacity-building programs and initiatives to enhance digital intelligence, particularly among owners of micro-sized businesses (those with annual sales up to 2 billion IDR, or approximately C$160,715). Azizah emphasized the need for increased support and collaboration with other ministries and the private sector to scale these initiatives effectively.

Shinta Kamdani provided a broader regional perspective, noting that MSMEs comprise around 97 percent of enterprises and employ over 50 percent of the workforce across the APEC region. ABAC prioritizes supporting these businesses through market outreach, access to capital, and facilitating their transition from the informal to the formal economy. Kamdani highlighted the potential of cross-border payments to improve market access, citing the ASEAN QR code payment system, launched in 2023, as a successful example. This system offers convenience for both customers, including foreign visitors, and MSME owners, enabling access to foreign buyers. It also supports broader objectives like improving digital literacy and formalization.

Liberty Society: A Case Study in Digitalization and Investment

Tamara Wu, representing the MSME perspective, shared the story of Liberty Society and her experience as a young woman business owner. Liberty Society not only provides eco-friendly, upcycled products to corporate clients but also supports and employs refugees from Afghanistan and Iran, demonstrating the potential of MSMEs to address social issues and foster cross-border collaboration. Wu emphasized the crucial role of digitalization, noting that her company now relies on artificial intelligence for 40 percent of its decision-making. She also underscored the importance of investment, citing both domestic and foreign funding as key to her company’s growth. Liberty Society’s experience illustrates how larger corporations can actively support MSMEs.

Kamdani also shared her experience establishing a fund to support women startups in Indonesia, providing both financial assistance and mentorship on practical skills like digital financing. Nadjibulla, in her concluding remarks, stated, “By grounding policy dialogue in lived business realities, One can deliver more effective and gender-responsive MSME solutions.”

Formalization and Regional Value Chain Integration

Following the panel, a roundtable discussion involving ABAC members and senior government officials explored practical strategies for integrating women-led MSMEs into domestic and regional value chains using digital tools. Participants from New Zealand, Thailand, Mexico, and Indonesia, alongside officials from Indonesia’s Ministry of MSMEs, Ministry of Trade, Ministry of Women Empowerment and Child Protection, Ministry of National Planning, and the National Committee for Sharia Economy and Finance, focused on digital adaptation, formalization, certification, export readiness, and leveraging free trade agreements.

The Ministry of MSMEs showcased the recently launched Online Single Submission (OSS) platform, designed to streamline the issuance of Business Identification Numbers (NIB) and support MSMEs’ transition from the informal to the formal sector. The Ministry of Women Empowerment highlighted an initiative using TikTok to train housewives in social media marketing, equipping them with skills to avoid online scams and predatory lending practices. Brett O’Riley, ABAC New Zealand, suggested that governments could further support women MSMEs through procurement policies that prioritize their participation in markets and supply chains, citing New Zealand’s approach as a successful model.

Canada-Indonesia Cooperation Deepens

On the sidelines of the workshop, APF Canada and the Indonesian Chamber of Commerce and Industry (KADIN) formalized a new Memorandum of Understanding (MoU). Signed by Jeff Nankivell, APF Canada’s President & CEO, and Anindya Novyan Bakrie, Chairman of KADIN, the MoU establishes a framework for closer collaboration on foreign policy analysis, trade and commercial strategy, and applied research in areas of shared interest, including critical minerals, food and energy security, and the implementation of Canada–Indonesia economic agreements. This partnership will involve knowledge exchange, joint research, and policy dialogues.

This event is part of Phase Two of the APEC-Canada Growing Business Partnership project, a five-year, C$2.5-million initiative funded by the Government of Canada and implemented by APF Canada in Indonesia, Malaysia, the Philippines, Thailand, and Vietnam. The project aims to promote inclusive economic growth for MSMEs, with a specific focus on supporting women entrepreneurs.

Edited by Erin Williams, Director, Programs, APF Canada

Looking Ahead: Scaling Impact and Sustaining Momentum

The Jakarta workshop represents a significant step towards addressing the challenges and opportunities facing women-led MSMEs in the APEC region. The immediate next steps involve translating the discussions into concrete action plans, with a focus on scaling successful initiatives like the QRIS system and the ASEAN QR code payment system. Continued collaboration between governments, the private sector, and MSME support organizations will be crucial. Further research, facilitated by the APF Canada-KADIN MoU, will be essential to identify best practices and tailor solutions to the specific needs of different economies within the APEC region. The APEC-Canada Growing Business Partnership will continue to play a vital role in monitoring progress and providing technical assistance to ensure that the benefits of digital finance and market readiness reach the women entrepreneurs who need them most.