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Digital economic contribution is growing


The Indonesian government is doing a lot of things in preparation for the transition from conventional economy to the digital one. Infrastructure for the transition has been prepared. Coordinating Minister for Economic Affairs, Darmin Nasution says that to achieve the largest digital economy in Southeast Asia, there are at least some things that must be prepared by Indonesia, such as fixing human resources, funding startup companies and improving consumer protection. In addition, it is also important to discuss issues related to consumer protection and to simplify the tax system.

Viewed from the size of Indonesia's large millennial population, Indonesia will be able to become the largest digital economy in Southeast Asia by 2020. Because, young people are very quickly adjusting themselves to the digital economy. The government is also preparing a conventional economic transition to digital by finding solutions how the small and medium enterprises -SMEs can export.

The development of the digital economy is predicted to grow significantly. Currently, the contribution of the digital economy to economic growth to GDP is about 7.3% of e-commerce users, and is likely to experience an increase in the next 3 years by 10%. Meanwhile, the e-commerce portion of total retail sales or new retail sales reached 2%. In this case, Finance Minister, Sri Mulyani said that if counted from the Indonesian people who are 40 years old, the majority of 58% of Indonesians are young people. The young people are characteristically creative, confident and connected. In making decisions, they are very dependent on each other. They are very familiar with the application of various devices or gadgets, so the way they interact or shop is greatly influenced by the devices they have.

The development of the digital economy is predicted to change the manufacturing industry sector and SMEs. Industrial products do not have to go through long supply chains, so the market can open up wider. This is an opportunity for SMEs to increase production capacity and marketing. Currently, Indonesia is standing at the fifth position of the world’s largest number of internet users, reaching around 132 million people. The shift in phenomenon from conventional economy to digital economy is also experienced by all countries in the world.

The online phenomenon has brought a drastic impact on the retail industry but has its own advantages for leased warehousing and courier services. This can be seen from the realization of tax contribution from the courier service industry which until November 2017, it has reached Rp 522.27 billion or equal to 16.85%.

In regard to the promising prospect, in the end, like or not, all parties must be ready to be part of the rapid changes. However nowadays, world’s development is requiring individuals to increase their capacity. Otherwise, they will surely be left behind. In this case, the government has a share and a big responsibility to realize the desired conditions for the common prosperity. 


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