The initiative is part of the broader Government Technology (GovTech) development program, which aims to improve efficiency in public administration, with AI technology expected to reduce cases of misconduct.
“We’re currently working on AI-based deregulation, which we plan to present to President Prabowo Subianto. If this succeeds, then irregularities and misconduct will certainly decrease,” Pandjaitan told reporters in Jakarta on Wednesday.
He disclosed that the AI-driven regulatory overhaul will be integrated with the Online Single Submission (OSS) system — Indonesia’s electronic business licensing platform.
Aligning the process with Government Regulation (PP) Number 28 of 2025 on Risk-Based Business Licensing will require close coordination between DEN and the Ministry of Investment and Downstreaming, Pandjaitan said.
“We are coordinating with the Minister of Investment because there’s PP 28. Now, we are working to incorporate it into the AI system,” he informed.
Regarding the development of GovTech, he said that the government plans to launch a pilot project in Banyuwangi in September 2025. If successful, the model will be scaled nationwide, with a focus on leveraging AI to manage and update national data systems in real time.
“If this pilot project succeeds, we will continue to develop it so that our data is truly AI-driven. This will allow for continuous real-time upgrades and updates, as it’s built on an AI foundation,” he added.
He also expressed optimism that the project will succeed, citing previous digital innovations developed in Indonesia, such as the PeduliLindungi COVID-19 tracking app; the e-Catalogue system, which helped save 40 percent in government spending; and the Mineral and Coal Information System (SIMBARA).
With the integration of these digital systems, Indonesia is on track to becoming more competitive on the global stage, Pandjaitan said.
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Translator: Bayu Saputra, Kuntum Khaira Riswan
Editor: Primayanti
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