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Redefining Indonesia's Digital Economy

Author

Listed:
  • Militcyano Samuel Sapulette

    (Economic Research Institute for ASEAN and East Asia (ERIA))

  • Pyan A. Muchtar

    (Economic Research Institute for ASEAN and East Asia (ERIA))

Abstract

The Indonesian digital economy is the largest and most attractive investment destination amongst the Association of Southeast Asian Nations (ASEAN) Member States (AMS). The sector has grown more than fourfold in the last 4 years and has supported other sectors. Amid the exponential growth, digital businesses are facing what is called a 'tech winter' in which startups are likely to experience slowdowns or even bankruptcy. In addition, although the digital transformation helps businesses improve productivity and drive economic growth, it has consequences for employment and wages, particularly for less skilled workers. While the potential of the digital economy must be continuously harnessed, some key initiatives need to be implemented to mitigate its negative effects.

Suggested Citation

  • Militcyano Samuel Sapulette & Pyan A. Muchtar, 2023. "Redefining Indonesia's Digital Economy," Working Papers PB-2022-06, Economic Research Institute for ASEAN and East Asia (ERIA).
    • Handle: RePEc:era:wpaper:pb-2022-06
    as

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    File URL: https://www.eria.org/uploads/media/policy-brief/FY2022/Redefining-Indonesia%E2%80%99s-Digital-Economy.pdf
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    References listed on IDEAS

    as
    1. Armida Salsiah Alisjahbana & Maman Setiawan & Nury Effendi & Teguh Santoso & Baruna Hadibrata, 2020. "The adoption of digital technology and labor demand in the Indonesian banking sector," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 47(9), pages 1109-1122, August.
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    Cited by:

    1. Lili Yan Ing & Ivana Markus, 2023. "ASEAN Digital Community 2040," Working Papers PB-2022-11, Economic Research Institute for ASEAN and East Asia (ERIA).
    2. Michelle Chandra Kasih, 2023. "Fostering ASEAN's Digital Future through Cybersecurity Policies and Human Empowerment," Working Papers PB-2023-02, Economic Research Institute for ASEAN and East Asia (ERIA).

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