Strengthening The Halal Industry in The Micro-Small Business Sector Through The Development of An Integrated Islamic Microfinance Institution Model

The development of the halal industry in various sectors in Indonesia is supported by the existence of ‎Law of the Republic of Indonesia Number 33 of 2014 concerning Halal Product Guarantee (JPH), ‎which changes the ownership of halal certification from a voluntary to a mandatory basis. The ‎enactment of the JPH Law is supported by the launch of the Sehati program (free halal certificate) for ‎micro and small enterprise players. However, many micro and small enterprise players still lack ‎interest and awareness of the halal certification process due to a lack of information about the ‎program. Islamic microfinance institutions are informal financial institutions that play a crucial role as ‎a capital solution, facilitating micro and small enterprises in obtaining halal certification. However, ‎they still face obstacles in fulfilling their role. West Java is a province with the most significant number ‎of micro and small enterprises in Indonesia, and DKI Jakarta is designated as a halal tourism area, ‎which is expected to continue experiencing growth in the halal industry every year. Based on this ‎analysis, a research study was conducted using a swot analysis on related parties, including micro and ‎small enterprise players in the Jabodetabek area. It was concluded that Islamic microfinance institutions ‎have not been able to provide maximum facilities to micro and small enterprises. It is hoped that this ‎research will enable the government to create new regulations that facilitate easier access to halal ‎certification for micro and small enterprise players and Islamic microfinance institutions.