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The government continues to drive the development of the digital economy to enhance productivity for businesses, particularly Micro, Small, and Medium Enterprises (UMKM), as well as the wider society. As part of the digital transformation, the digital economy holds significant potential to support the achievement of Indonesia’s Vision 2045.
By embracing digital transformation, Indonesia’s economy has the potential for substantial growth. A study in 2022 indicates that Indonesia has the highest digital economy value in Southeast Asia, reaching US$77 billion in 2022 and is projected to reach US$130 billion by 2025. Additionally, Indonesia captures 40% of the Southeast Asian digital economy market share.
Susiwijono Moegiarso, Secretary of the Coordinating Ministry for Economic Affairs, during a Coordination Meeting on Cybersecurity and Cryptography Dissemination at the Ministry’s office, stated, “To that end, the government consistently encourages various efforts to foster the development of the digital economy ecosystem, particularly by formulating policies and regulations in sectors such as finance, education, healthcare, trade, and industry.”
The coordination meeting aims to mitigate cybersecurity risks and support the accelerated digital transformation from a collaboration between the Coordinating Ministry for Economic Affairs and the National Cyber and Crypto Agency (BSSN). Susiwijono, the Deputy Minister of the Coordinating Ministry, also highlighted that an increase in cybersecurity risks accompanies the growth of the digital economy.
He emphasised that these risks manifest in malware and organised cybercrime, ranging from reputation damage with significant impacts on businesses to material losses resulting from personal data theft, intellectual property violations, and other severe risks.
“Cybersecurity is a critically important priority for our national security moving forward. Many countries have already placed this as a top security priority. Therefore, the government needs to ensure that reliable cybersecurity measures accompany all efforts toward digital economic growth,” stated Deputy Minister Susiwijono.
Cybersecurity also serves as a key pillar in developing Indonesia’s digital economy, aiming to strengthen public trust and encourage participation in the digital economy.
Furthermore, Susiwijono elaborated on the importance of international collaboration and agreements in driving the digital economy forward. He underscored discussions and commitments in this regard that occurred during the ASEAN Summit 2023. Recognising that cybersecurity transcends national boundaries, he emphasised the need for a global perspective and joint efforts to address the challenges in this domain.
As the digital economy continues to expand and evolve, the risks and vulnerabilities associated with cybersecurity also grow.
Deputy Minister Susiwijono emphasised that safeguarding digital assets and ensuring the security of online transactions and communications are critical for maintaining public trust and confidence in the digital ecosystem. Therefore, cybersecurity has become a top national priority, requiring comprehensive strategies and concerted actions to mitigate risks effectively.
At the national level, the government is committed to implementing various initiatives and priority programmes that heavily rely on digital systems, including the recent State Personnel and Benefits Expenses (SPBE).
Deputy Minister Susiwijono emphasised the importance of government agencies and ministries developing a deep understanding of cybersecurity principles and best practices. They need to integrate robust cybersecurity measures into all public services to protect sensitive data, prevent cyber threats, and ensure the integrity and resilience of digital infrastructure.
By prioritising cybersecurity and fostering a culture of awareness and preparedness, Indonesia aims to create a secure and trusted digital environment that enables individuals, businesses, and the government to fully harness the potential of the digital economy while mitigating potential risks and challenges.
Susiwijono concluded that collaboration between government entities, private sector stakeholders, and international partners is essential to develop effective cybersecurity frameworks. It enables individuals to share intelligence and collectively address emerging cyber threats globally.