Digital economy, a key driver of Indonesia’s growth

Digitisation can boost quality of life, which can significantly impact the country’s economic growth

Chief Economic Minister Airlangga Hartarto said that the digital economy could be Indonesia’s new growth engine. He noted the surge of digital technologies that transform many aspects of life, citing business practices changed by digitisation, allowing for faster, more efficient transactions. 

“The government is encouraging the use of new sources of growth to support this economic transformation. Accelerating the digital economy becomes our main strategy to transform the economy and speed up the post-COVID-19 economic recovery,” said Airlangga in a webinar hosted by Jakarta Globe’s sister publication, Investor Magazine, in April.

Recently, the delegates of the Digital Economy Working Group (DEWG) met for numerous vigorous discussions, according to OpenGov Asia. They concluded that all G20 countries shared a common goal, which was to promote global economic recovery using digital technologies.

During the event, Minister of Communications and Information Johnny G. Plate mentioned that he believed in the possibility of Indonesia becoming a digital hub in Southeast Asia by 2024 once it has a sufficient digital infrastructure base.

The Minister announced that they are focusing on building national data centres based on cloud computing in four locations, starting this year in the Cikarang region of the West Java Province. Furthermore, he wants the private sector to build downstream digital infrastructure because there is such a high potential for expansion.

More: Indonesia’s digital economy estimated to reach USD315 million by 2030

Meanwhile, PT Telkom Indonesia (Telkom), a state-owned enterprise, is determined to help the country improve its quality of digitisation, reported The Jakarta Post. 

By collaborating with state-owned companies and providing various products and services, Telkom contributes to the development of a strong digital society. Until the end of this year, itis developing various infrastructure projects, including251,116 base transceiver stations (BTS), 170,885 kilometres of fibre optic cable stretching across the archipelago, and 14.1 million optical ports.

Indonesia has great potential in having a strong economic digital system. Digitisation can boost quality of life, which can significantly impact the country’s economic growth.

The Property Report editors wrote this article. For more information, email: [email protected].