He emphasized that Indonesia will advance its AI integration, especially after the technology potentially adds up to US$15.7 trillion to the global economy by 2030.
"According to PricewaterhouseCoopers, industries most exposed to AI recorded a 27 percent increase in revenue. Meanwhile, Indonesia recorded the strongest AI commercial momentum in ASEAN, with revenue from AI-powered applications growing 127 percent year-on-year in the first half of 2025," Hartarto stated in his remarks on Thursday.
Moreover, with its 235 million internet users and 81 percent of the internet penetration rate, Indonesia's digital economy sector's gross merchandise value (GMV) is getting closer to US$100 billion, the largest in ASEAN, he added.
Hartarto explained that digital economic development, through the integration of data centers, AI, and semiconductor integration that will provide jobs for over 600,000 professionals, is designed to support Indonesia's 8-percent economic growth.
The top minister underscored the deep penetration of digital technology in various industries, including smart farming and agricultural drones, digital health services, and cloud-based AI for real-time monitoring of electric vehicle production.
Digital twin technology has also been adopted for Nusantara Capital City's smart city vision and the modernization of electricity infrastructure.
To advance AI development, Indonesia will push for the strengthening of its infrastructure, including through the development of a data center with a pipeline capacity of 1.17 GW and investments through strategic collaboration.
Indonesia will also promote human resources development in the digital technology sector through various scholarship programs and a 200 percent "super tax deduction" for companies organizing vocational courses.
He highlighted an agreement between Danantara Indonesia and British semiconductor factory Arm Limited to train 15 thousand Indonesian engineers.
Meanwhile, Indonesia and the United States have also signed a joint development agreement, which opened the door for US$4.89 billion in investments for the development of an integrated semiconductor cluster in Galang Island, Riau Islands Province.
Besides strengthening national programs, Indonesia also supports efforts to strengthen regional and global collaboration on AI and digital development, including through its position as a founding member of the World Artificial Intelligence Cooperation Organization (WAICO) to strengthen AI development coordination.
Indonesia has also agreed to join the ASEAN Digital Economy Framework Agreement (DEFA), which will be signed next November and is expected to double ASEAN's digital economy value to US$2 trillion, he remarked.
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Translator: Bayu Saputra, Nabil Ihsan
Editor: Azis Kurmala
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