Government Simplifies Data Center Licensing Regulations In Indonesia

JAKARTA - Minister of Communication and Information Budi Arie Setiadi revealed that the government is simplifying licensing and review of applicable regulations to encourage data center investment in Indonesia.

Budi also admitted that the government had reflected and studied the policies implemented in Malaysia. According to Budi, the government in neighboring countries provides tax incentives for data center investors in Indonesia.

"So what regulations make us experience obstacles in data center investment. In Malaysia we have studied, they have carried out many incentives which also make investors interested in building data centers," Budi said, citing his official broadcast.

With the opportunity to invest in a data center that is still very large because of the population of Indonesia and the rapid development of digitalization, Budi said, with this simplification, it is hoped that it can overcome obstacles in increasing data center investment.

According to the Minister of Communication and Information, the existence of increased data center services will enable the storage of domestic community data as an effort to maintain data sovereignty.

"If possible, all those who deal with the Indonesian population, the data center is in Indonesia, so that the issues of data sovereignty are also important," said Budi further.