Evaluating the Effectiveness of the Bandung–Kawasaki Sister City Program in Advancing Circular Economy and Empowering MSMEs in Urban Sustainability Contexts

Abstrak

This study analyzes the effectiveness of the Bandung–Kawasaki Sister City cooperation in promoting circular economy practices and empowering micro, small, and medium enterprises (MSMEs) in Bandung City, Indonesia. Previous studies have largely examined this partnership through the lens of city diplomacy and Sustainable Development Goals (SDGs) norm diffusion, while empirical evidence on its economic impacts at the local level remains limited. This research addresses that gap by focusing on the micro-economic outcomes of the Bandung–Kawasaki Green Project. Employing a qualitative instrumental case study approach, data were collected through in-depth interviews, document analysis, and field observations involving local government officials, academics, MSME actors, school communities, and international cooperation facilitators. The findings indicate that the program has produced early-stage economic impacts, mainly in the form of risk reduction, potential cost efficiency, and the creation of small-scale economic value through waste management practices. Circular economy principles were implemented through pilot projects targeting tofu producers, laundry businesses, and environmental education initiatives in primary schools. Despite these positive outcomes, the program’s coverage remains limited, reaching only a small proportion of MSMEs. Key constraints include budget limitations, the absence of a structured monitoring and evaluation system, weak integration into local development planning, and limited local ownership. The study concludes that while the Bandung–Kawasaki Sister City cooperation demonstrates the potential of city diplomacy to support circular economy adoption and local economic empowerment, its long-term effectiveness depends on institutional integration, policy scalability, and sustained stakeholder collaboration.