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G20 Enables Indonesia to Accelerate Digital Transformation

Image credits: kominfo.go.id

The G20 Forum has become a tool for the government of the Republic of Indonesia to boost the digital economy and hasten both local and global digital transformation. According to Dedy Permadi, Special Staff to the Minister of Communication and Informatics, this effort was evident in several meetings of the Digital Economy Working Group (DEWG).

Three topics, including connectivity and post-covid recovery, digital skills and digital literacy, and cross-border data flows, were discussed at the DEWG, according to Special Staff Dedy. In terms of connectivity, the nation is advocating for online communication or digital connectivity to aid in the COVID-19 post-pandemic recovery.

As an illustration, consider how digital connectivity is used to maintain and hone Micro, Small, and Medium-Sized Enterprises (MSMEs) even in the face of extraordinary business deals. MSMEs can therefore survive in the face of the COVID-19 pandemic by utilising digital tools.

Considering that the internet and digital media are now a part of daily life, Indonesia also suggests that digital skills and literacy can be a joint solution to speed up digital transformation. Therefore, both in Indonesia and in the other G20 nations, digital literacy skills are a must for every citizen.

Meanwhile, if public data must cross international borders, the issues of cross-border data flow and data-free flow with trust are discussed. Dedy claims that Indonesia introduced the three principles of transparency, lawfulness, and fairness for global data governance. Even though data governance is still in its early stages, these three guiding principles serve as the foundation for nations all over the world.

Additionally, Special Staff Dedy added that Indonesia is battling for tangible outcomes at the G20 Summit, one of which is the use of digital technology for MSMEs and maximising its advantages for the nation’s economy.

One of the topics of conversation between Indonesia and the G20 members is the use of digital technology by MSMEs to help them thrive and grow their businesses by going online or digital. According to Dedy, digital technology is currently used by 21 million MSMEs in Indonesia or about 32% of the country’s 64 million MSMEs overall.

This indicates that 68% of MSMEs are still not making use of the digital space to advance their businesses. Therefore, the G20 countries are concerned about being able to advance further on how digital connectivity can aid in the recovery of the global economy.

The promotion of Indonesian products online requires MSMEs to develop their digital skills (e-commerce). MSMEs should be able to develop new technologies or applications that can be used by other companies in the same industry thanks to their digital capabilities.

The Ministry of Communication and Informatics also collaborates with academics, religious leaders, and the younger generation to support the efficient use of digital space. The Ministry continues to help SMBs engage in active online sales.

Furthermore, the Memorandum of Understanding (MoU) on Advancing Regional Digital Payment Connectivity was signed in front of Minister of Communication and Informatics Johnny G. Plate. The MoU regarding the implementation of cross-border digital payments in Indonesia, Singapore, Thailand, Malaysia, Thailand and the Philippines, five ASEAN nations, demonstrates that these five nations are capable of being one step ahead of other nations.

ASEAN cross-border digital payments are a tangible example of the G20 countries’ shared commitment to digital transformation, which is essential for long-term economic recovery. It is primarily strong inclusively and collaboratively due to the economic recovery.

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