Abstract:

As one of the developing countries, Indonesia has a tremendous economic potency which is supported by the abundant natural resource, the large number of workforce and also wide geographical area. In 2025, Indonesia is expected to be the country with middle income. In order to comply the target, the government has to increase the Indonesia’s economic growth. One of the important sectors that has a significant impact on the economics of Indonesia is SMEs. This sector has not been optimized well by the government, Even the SMEs sector has become a stimulus to the Indonesia’s economic. Therefore, in order to maximize the development and empowerment of SMEs, the sector must conduct the innovation and utilize the digital trend through digital economics. This paper will discuss the important reasons of development and empowerment of SMEs, and how to integrate the SMEs with the digital Economics, and the last we offer the strategies to develop and empower the SMEs sector through digital economics. This is a literature study relying mostly on the library research. The outcome of this research is expected to assist and support the Indonesian government and other stakeholders to develop and empower of the SMEs sector in order to build national resilience.