Coordinating Ministry For The Economy Reveals The Implementation Of The Digital Economy Framework Agreement Is Not Yet Fully Ready

JAKARTA - Deputy for Coordination of International Economic Cooperation at the Coordinating Ministry for the Economy Edi Prio Pambudi revealed that the implementation of the Digital Economy Framework Agreement (DEFA) in 2025 is not yet fully ready.

According to him, in the meeting of the 24th meeting of the ASEAN Economic Community Council in Laos last year there were countries that were not ready to implement DEFA in 2025.

As a solution, Edi said that Indonesia proposes to divide DEFA into two parts with parts that are ready to be launched this year, while parts that still need further preparation.

According to Edi, countries that are still in the preparation stage will get support in the form of capacity building so that they can understand and implement DEFA according to their respective capacities.

"Because if we wait until everything is ready, it will automatically not be finished. We take advantage of the momentum, why? Because this ASEAN area has many parties outside ASEAN who really want to interact with us. If we don't have the principle, in the end each country will become the whole," said Edi at the Coordinating Ministry for the Economy Office, Wednesday, February 12.

Furthermore, Edi explained that the challenge in the implementation of DEFA, among others, is the difference in capacity of ASEAN member countries, especially slower countries in economic growth.

However, Edi was reluctant to mention specifically which countries were not ready, but he stressed that primary commodities-dependent countries tend to face greater challenges in digitization and need time to adjust.

"Yes, we know that there are countries that are only growth slower (slower) because they are more based on commodity primary, right. Now when they enter digitalization, they must definitely adjust," he said.

Edi said that his party also continues to convey to the country not to worry because the negotiation process among ASEAN members can always be resolved properly.

"But we always add to them not to worry, because it's good to be in ASEAN every negotiation, the negotiations can be completed brotherly, sisterly. That's the best. It's not as difficult as the others," he explained.

Edi hopes that with a more inclusive and gradual approach, ASEAN can overcome the difference in capacity between its members and realize agreements that are beneficial to all parties.

Previously, with the implementation of DEFA, Indonesia's digital economy projected to grow 4 times in 2030, reaching 210 US dollars to 360 billion US dollars and digital payments are also estimated to grow 2.5 times by 2030, reaching 760 billion US dollars.