Indonesia’s business-to-business (B2B) e-commerce is forecast to grow to $21.3 billion in 2023, said Deputy Trade Minister Jerry Sambuaga during a virtual conference, adding that this sector will drive trade inclusivity, volume, and competitiveness.

Sambuaga revealed that the government is using the B2B marketplace to boost micro, small and medium enterprises (MSMEs) participation in public procurement, not only to sell products but also to give them access to loans and mentoring.

“We must make sure that MSMEs are not only adapting to technology but can also grow their businesses with digitalization,” he said.

At the same webinar, Mikiko Steven, the director at payment gateway company Xendit Group, pointed out that B2B offers greater transparency with the removal of the middleman in the transaction chain. Additionally, more efficient logistics have given businesses more options to easily source their supplies from more from anywhere in the archipelago.

Xendit provides payment infrastructure for B2B marketplaces, facilitating about Rp 200 trillion ($13.9 billion) worth of transactions yearly, Steven revealed, enjoying a monthly growth rate of 10-15 percent in transaction value since its establishment.