Celios Warns Cyber Threats Could Hamper Indonesia's Digital Economy, Data Center is the Key

JAKARTA - The Center of Economic and Law Studies (Celios) reminds the government and industry players to strengthen the cyber security system at the data center (data center) to maintain the momentum of Indonesia's digital economic growth.

Celios Digital Economy Director Nailul Huda said that the development of data centers is not enough to rely on physical infrastructure, but must also be accompanied by a software security system that is capable of warding off various cyber threats.

"Data centers are not only built well physically, but software must also be qualified," said Huda, quoted by ANTARA, Monday, July 27.

According to him, cyber attacks have the potential to disrupt digital economic activities which are now increasingly dependent on the internet, ranging from electronic commerce to digital financial transactions.

He assessed that disruption to data centers could temporarily interrupt people's business activities, slowing the circulation of money in the economy.

Huda reminded that the experience of cyber attacks several years ago which was said to have caused economic losses of up to Rp6 trillion was an important lesson for the government to strengthen the national digital security system.

"When there is a cyber attack that attacks the data center, there will be losses in terms of economic turnover in the community. Those who used to rely on the internet for sales or financial transactions will be interrupted for a while, money circulation is hampered," he said.

In addition to maintaining the smoothness of transactions, a secure data center is considered an important factor in attracting investment in the technology sector and increasing investor confidence in the Indonesian digital ecosystem.

According to him, if data security is not immediately strengthened, Indonesia risks losing competitiveness because global technology companies will prefer countries with better data protection.

Huda also encouraged the acceleration of the issuance of derivative regulations of the Personal Data Protection Law (PDP Law) to provide legal certainty for digital business actors while strengthening the technology investment climate in Indonesia.