Indonesia's small firms struggle, dealing economy another blow

[WorldNews]

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By Eveline Danubrata PASURUAN, Indonesia (Reuters) - Fuad Fultoni has been selling wooden furniture from Pasuruan city on the eastern side of Indonesia's Java island for 15 years: gazing out as his workers sat idly in an empty showroom, he says business has never been so bad. "People don't have the purchasing power for things like this anymore," Fultoni said, gesturing towards intricately carved tables, chairs and cabinets on display. Small and medium-sized firms (SMEs) like his account for at least 50 percent of Indonesia's economy, but they have been sideswiped by the rupiah's slide to 17-year lows against the dollar, faltering consumption and a jump in minimum wages.

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