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Home Feature News

Komdigi calls for enhanced digital infrastructure to boost Indonesia’s economy

Digital investment policies should focus on building enhanced digital infrastructure to realize the growth of the digital economy.

Sinta by Sinta
May 23, 2025
in Feature News, GovAct, News
0
Mira Tayyiba talked about enhanced digital infrastructure to boost Indonesia's digital economy (05/15). Credit: Sinta

Mira Tayyiba talked about enhanced digital infrastructure to boost Indonesia's digital economy (05/15). Credit: Sinta

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Heaptalk, Jakarta — Digital transformation is a key pillar in achieving 2045 Golden Indonesia Vision. The Ministry of Communication and Digital Affairs (Komdigi) acknowledges that this measure requires modern and equitable digital infrastructure that can reach all regions of Indonesia.

According to the Global Connectivity Index, every 20% increase in digital sector investment can boost gross domestic product (GDP) by 1%. To realize this growth, digital investment policies should be directed toward building network infrastructure, information technology infrastructure, and other digitalized infrastructure, including data centers.

Mira Tayyiba, Director General of Digital Government Technology at the Ministry of Communication and Digital Affairs, stated that these policies will encourage the digital economy and financial ecosystem to grow even larger, eventually driving national economic growth.

“Data centers play a vital role in the digital era, particularly in data transfer connectivity and technological innovation. This aligns with the increasing penetration of broadband networks, which drives higher data usage and internet-based communication flows. As a result, the need for data center development continues to rise, positively impacting the growth of the digital economy ecosystem,” Mira said during the launch of the JK1 data center by Equinix and Astra International in South Jakarta (05/15).

Vast renewable energy potential

Indonesia is currently on a strategic path to strengthening its role as a digital economic growth hub in the Asia-Pacific region. Several securities research reports indicate that by 2025, Indonesia’s data center market value is projected to grow significantly, from US$2.39 billion last year to US$3.79 billion by 2030.

Additionally, the country holds a strategic geographical advantage as it lies along major global connectivity routes. It also possesses vast renewable energy potential, including 207 gigawatts from solar power and 29 gigawatts from geothermal energy, opening significant opportunities for sustainable and eco-friendly data center development.

On top of that, Indonesia holds a strategic position as the gateway to the Asia-Pacific digital economy. The digital economy’s cross-merchandise value has grown from US$80 billion in 2023 to US$90 billion in 2024 and is projected to reach US$130 billion in 2025. By 2045, Golden Indonesia Vision aims for 100% broadband coverage in all villages and urban wards, expanded 5G networks, and a developed national data center infrastructure to support artificial intelligence and cloud computing.

Mira expressed optimism that with an increasingly integrated digital ecosystem and continuously growing market potential, Indonesia is ready to attract investment and ensure that every incoming investment will grow alongside the national digital ecosystem. This will directly contribute to economic value creation, job expansion, and strengthened global competitiveness. “Therefore, let us work together to realize this grand vision—making Indonesia the epicenter of the digital economy and a leading data center investment hub in the Asia-Pacific region,” she concluded.

Tags: 2045 Golden Indonesia VisionMinistry of Communication and Digital Affairs

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