Indonesian Digital Economy Will Capai 150 Billion US Dollars In 2025, The Government Asked To Prepare Infrastructure And Increase HR

Illustration (Photo: Doc. Antara)

JAKARTA - The digital economy can be a new source of economy that supports Indonesia's economic growth in the future.

The value of Indonesia's digital economy will reach 150 billion dollars by 2025.

For this reason, the government is asked not only to prepare infrastructure, but also to increase human resources (HR).

Institute for Development of Economics and Finance (Indef) economist Nailul Huda, the government's efforts to develop the digital economy are a good step so that it deserves appreciation and support. However, the government must also improve human resources.

"Of course, the government's efforts to develop a digital economy should be supported, where efforts to provide internet access are good. However, the government should also not forget to prepare human resources in the regions to be able to use the internet to something productive," Huda told reporters, Thursday, September 29.

According to Huda, the importance of HR factors in efforts to accelerate the transformation of the digital economy can be seen from the large number of users who use the internet for business activities.

" BPS data states that even though there are internet signals, most of the use is still intended for communication. For trading and productive activities are still relatively low," he said.

Based on the Indonesian Communications Statistics 2021 issued by the Central Statistics Agency (BPS), the goal of accessing the internet in rural areas is to get news of 73.05 percent, obtain information for the learning process of 50.66 percent, send or receive 11.42 percent email, social media 93.47 percent, purchase of goods/services 13.66 percent, sale of goods/services 4.99 percent, entertainment 72.28 percent, and financial facilities 4.43 percent.

Huda said that there are three aspects that should be considered in efforts to transform the digital economy, namely the infrastructure aspect, the human resource aspect, and the use aspect of the digital economy.

"I think the last two aspects that I mentioned are still lacking touch by the government. As a result, our digital skills are still relatively lower than other countries such as Singapore or Malaysia," he concluded.

Meanwhile, Indonesian Center of Reform on Economics (Core) researcher Eliza Mardian added that the potential of digital business by young people, both millennials and Gen Z, could be optimized even more.

"The digital business among young people has the potential considering that the highest penetration is at a young age," said Eliza.

According to him, currently the forum for doing business for young people is through e-commerce.

A large market share has not been able to be fulfilled by domestic business actors.

"Based on BPS data, the most obstacles faced by e-commerce people are due to demand factors. This means that in terms of demand, we need to improve," said Eliza.

Eliza said the majority of Indonesians use the internet for entertainment and communication. As for economic activity, it is not that high.

"To convert internet users into economic activity requires a paradigm transformation at various levels of stakeholders, the government, business actors, including supporting infrastructure needs," he explained.

As is known, the government itself continues to build adequate digital infrastructure throughout Indonesia.

One of them is that the government has prepared technology infrastructure in the form of fiber optic and the development of the latest technology, which is often called Low Earth Orbit Satellite, so that 17,000 islands in Indonesia will be connected to each other.

"Infrastructure development is really needed, especially outside Java. Because this infrastructure is part of the digital ecosystem. Activities outside Java must be prioritized in order to improve the economy of the area," said Eliza.

Previously, Coordinating Minister for Economic Affairs Airlangga Hartarto said the value of Indonesia's digital economy would reach 150 billion US dollars by 2025.

In digitizing ASEAN, Indonesia leads with a portion of 40 percent and by 2030 it is predicted that it will increase.

"This student will be a source of our human resources and digital talent in the future, which of course must be prepared to face this digital transformation," said Coordinating Minister Airlangga.