February 26, 2024

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Indonesia Accelerates Digital Transformation in its Tourism Sector

The Indonesian government is undertaking a comprehensive programme for the recovery of the tourism sector in the nation, which has been the hardest hit by the Covid-19 outbreak, resulting in the loss of 409,000 jobs and a decline in state revenues.

Currently, the internet penetration in Indonesia for the year 2021-2022 period was reached 77.2% and based on the reported data in 2020, mobile device users reached 370.1 million or more than 100 million of the total population in the country.

“The predicted value of Indonesia’s digital economy in 2025 is worth USD 146 billion or equivalent to Rp. 2,103 trillion. In 2030 it will reach USD 330 billion or equivalent to Rp. 4,752 trillion,” according to Mira Tayyiba, Secretary-General, Ministry of Communications and Informatics.

She added by 2030, the value of the digital economy in Southeast Asia is projected to increase by one trillion dollars. This data is reinforced by Indonesia’s potential for internet expansion and has opened opportunities for the digital economy in the country.

Sec-Gen Tayyiba cited some of the government initiatives such as: Building a 4G network in 12,548 villages (out of 83,218 villages and sub-districts that have not been reached by the 4G network); Development of a digital platform for the Tourism Network Hub; Tourism Village Assistance through English language training, Utilisation of online stores and training for Digital Entrepreneurship Academy.

In 2020, on the other hand, Indonesia received a total of 4 million tourists, ranking it 44th in the world in terms of absolute numbers. Tourism alone produced approximatelyUS$ 3.53 billion for the country. This represents 0.33% of its gross domestic product and nearly 12% of Southeast Asia’s total international tourism receipts.

Furthermore, while digitalisation provides opportunities for increased productivity, economic growth, and market expansion in Indonesia, the country recognises that there are digital challenges that must be addressed.

There are further obstacles in the form of inadequate access to digital infrastructure, inaccessible internet services, and a lack of digital technological proficiency. Thus, those industries that can adopt digital technology, maximise its productive use, and provide value will survive.

In addition, The Sec-Gen explained that prioritising economically vulnerable groups is the key to economic recovery and digital change must be inclusive, empowering, and sustainable.

Sec-Gen Tayyiba also emphasised the term “sustainable” which refers to digital transformation that aims to achieve the 2030 Agenda for Sustainable Development Goals (SDGs). Inclusive digital transformation entails providing digital access and secure digital space to all levels of society in which citizens who are empowered can use technology productively and add value to their lives.

The core purpose of the G20 has always been to recognise the importance of collective action and inclusive collaboration among major developed countries and emerging economies around the world. Understanding the challenges and the need for collective action, Indonesia will focus its G20 2022 Presidency on three main pillars: Global Health Architecture, Sustainable Energy Transition, and Digital Transformation.

Through these pillars, Indonesia will continue to take the lead in ensuring equitable access to COVID-19 vaccines, as well as promoting sustainable and inclusive economic development through the participation of MSMEs and the digital economy.

While also aspiring to improve its collective capacity in securing shared prosperity among nations through various reform efforts in global taxation, stronger cooperation in fighting corruption, deeper infrastructure financing, and pushing for more democratic and representative international cooperation.

PARTNER

Qlik’s vision is a data-literate world, where everyone can use data and analytics to improve decision-making and solve their most challenging problems. A private company, Qlik offers real-time data integration and analytics solutions, powered by Qlik Cloud, to close the gaps between data, insights and action. By transforming data into Active Intelligence, businesses can drive better decisions, improve revenue and profitability, and optimize customer relationships. Qlik serves more than 38,000 active customers in over 100 countries.

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CTC Global Singapore, a premier end-to-end IT solutions provider, is a fully owned subsidiary of ITOCHU Techno-Solutions Corporation (CTC) and ITOCHU Corporation.

Since 1972, CTC has established itself as one of the country’s top IT solutions providers. With 50 years of experience, headed by an experienced management team and staffed by over 200 qualified IT professionals, we support organizations with integrated IT solutions expertise in Autonomous IT, Cyber Security, Digital Transformation, Enterprise Cloud Infrastructure, Workplace Modernization and Professional Services.

Well-known for our strengths in system integration and consultation, CTC Global proves to be the preferred IT outsourcing destination for organizations all over Singapore today.

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Planview has one mission: to build the future of connected work. Our solutions enable organizations to connect the business from ideas to impact, empowering companies to accelerate the achievement of what matters most. Planview’s full spectrum of Portfolio Management and Work Management solutions creates an organizational focus on the strategic outcomes that matter and empowers teams to deliver their best work, no matter how they work. The comprehensive Planview platform and enterprise success model enables customers to deliver innovative, competitive products, services, and customer experiences. Headquartered in Austin, Texas, with locations around the world, Planview has more than 1,300 employees supporting 4,500 customers and 2.6 million users worldwide. For more information, visit www.planview.com.

SUPPORTING ORGANISATION

SIRIM is a premier industrial research and technology organisation in Malaysia, wholly-owned by the Minister​ of Finance Incorporated. With over forty years of experience and expertise, SIRIM is mandated as the machinery for research and technology development, and the national champion of quality. SIRIM has always played a major role in the development of the country’s private sector. By tapping into our expertise and knowledge base, we focus on developing new technologies and improvements in the manufacturing, technology and services sectors. We nurture Small Medium Enterprises (SME) growth with solutions for technology penetration and upgrading, making it an ideal technology partner for SMEs.

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HashiCorp provides infrastructure automation software for multi-cloud environments, enabling enterprises to unlock a common cloud operating model to provision, secure, connect, and run any application on any infrastructure. HashiCorp tools allow organizations to deliver applications faster by helping enterprises transition from manual processes and ITIL practices to self-service automation and DevOps practices. 

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IBM is a leading global hybrid cloud and AI, and business services provider. We help clients in more than 175 countries capitalize on insights from their data, streamline business processes, reduce costs and gain the competitive edge in their industries. Nearly 3,000 government and corporate entities in critical infrastructure areas such as financial services, telecommunications and healthcare rely on IBM’s hybrid cloud platform and Red Hat OpenShift to affect their digital transformations quickly, efficiently and securely. IBM’s breakthrough innovations in AI, quantum computing, industry-specific cloud solutions and business services deliver open and flexible options to our clients. All of this is backed by IBM’s legendary commitment to trust, transparency, responsibility, inclusivity and service.

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